Minister of Finance, Nirmala Sitharaman recently convened a meeting with representative from the Micro,Small and Medium Enterprises industry, seeking their suggestions and advice for the formulation of the upcoming Union Budget 2025-26
The pre-budget meetings have been organized as a means to avail suggestions and inputs to facilitate a friendly business atmosphere while understanding the ground-level reality of the industry.
Union Minister of State for Finance Pankaj Chaudhary; Finance Secretary; DIPAM Secretary; Department of Economic Affairs Secretary; Chief Economic Adviser were other Governmental Representatives in attendance at the meeting.
Boost Your Business with SME IPO Funding Strategies – Enroll Now
While the specifics discussed in the meeting have not been released towards the public, it is to be noted that The Finance Minister consulted representatives from various associations, including the Federation of Andhra Pradesh Small and Medium Association, Laghu Udyog Bharati, and the Plant-Based Food Industry Association (PBFIA).
Stakeholders pushed for GST Reductions, production-linked incentive (PLI) schemes and a revamp of the existing technological services deployed. Om Prakash Gupta, All India General Secretary of Laghu Udyog Bharati confirmed their recommendation to link the Government e Marketplace (GeM) Portal to Udyam registration since the GeM portal had crossed an annual turnover of Rs. 4 Lakh Crore.
EPPC Rao, President of the Federation of Andhra Pradesh Small and Medium Industries Association, stressed the economic relevance of strengthening MSMEs while calling for GST exemptions on Industry 4.0 items and revival of sick units in terms of the Micro, Small and Medium Enterprises Development Act, 2006.
Boost Your Business with SME IPO Funding Strategies – Enroll Now
In a similar vein, Arvind Mehta, Chairman of the All India Plastics Manufacturers’ Association, sought a technology upgrade fund for the textile sector while praying for GST exemptions and reductions on plastic recycling machines and raw materials respectively.
The requests were further reinforced by Sudhir Jha, National Convenor of All India Manufacturers’ Association, calling for a PLI on power electronics products as the manufacturing industry relies heavily on such products. Jha maintained that domestic manufacturers may not be able to adequately scale up operations unless performance linked incentives are meted out to them.
In attendance were members of the Rajasthan Footwear Manufacturers Association, Ambala Scientific Instruments Manufacturers Association (ASIMA), and the All India Manufacturers Association, The Federation of Associations of Cottage and Small Industries (based in West Bengal), Karnataka SC and ST Entrepreneurs Association, Gujarat Chamber of Small Industries Association, The All-India Plastics Manufacturers Association, and the Association of Women Entrepreneurs of Karnataka (AWAKE) were part of the discussions.
Boost Your Business with SME IPO Funding Strategies – Enroll Now
Stakeholders can expect their concerns to be adequately addressed through the Union Budget 2025-26, which may be tabled on the 1st of February, 2025 in Nirmala Sitharaman’s eight budget presentation. The 2025-26 Budget will be a key determinant of the governance model adopted by the BJP Government during the third iteration of their rule.
Support our journalism by subscribing to Taxscan premium. Follow us on Telegram for quick updates
