Pumps, pipes, credit, mass housing and employment generation could be the focus areas in Budget: Yogesh Patil

economictimes.indiatimes.com:

«We are looking for diversified kind of auto ancillary companies where the risk of one segment or any other risk could be very less relative to other auto companies,» says Yogesh Patil, LIC Mutual Fund.

I want to talk to you about the rural and the tier II, tier III space in particular, beyond consumption, because the sense is that the government may actually put extra effort and liquidity towards that side to revive. What are the categories which are likely to do well? Is it rural pumps or is it some of the companies which are providing water solutions or maybe some irrigation companies or pipes? Which category in your view you think could be a beneficiary?
Yogesh Patil: Rural is largely driven by basically agriculture. So, solutions regarding agriculture like you rightly said, pumps, pipes, credit, mass housing and employment generation, these could be the focus area for government in Budget.

And if you see the large part, they are also struggling due to poor non-agri income. So, government will again focus on that area as well.

Unlock Leadership Excellence with a Range of CXO Courses

Also, I want to talk to you about the auto ancillary space. OEMs are what, about half-a-dozen OEMs. But there are about 30-40 auto ancillary companies, some of them small but doing phenomenally well in technology front. So, it is a stock specific kind