Budget 2023: Everyone's eyes will be on what is announced regarding the auto sector in the general budget. The auto sector is hopeful that the government will get some relaxation in GST (on electric vehicles).
Budget 2023: Contribution of auto sector in India's GDP is 6 percent. Direct and Indirect Section: This sector also creates a large number of employment. This is the reason why everyone's eyes will be on what is announced regarding the auto sector in the general budget. The auto sector is hopeful that the government will get some relaxation in GST (on electric vehicles). Let us know the opinion of the experts keeping an eye on this section –
Ripunjay Bararia, Co-Founder and CTO, Sugarbox, said-
According to a Gartner report, public cloud-related spending in India is expected to reach $7.5 billion this year, registering a growth of 29 percent from 2021. It is expected to cross the $13 billion mark by 2026. Due to economic and environmental conditions, there is a strong focus on the adoption of flexible digital technologies around the world. Information technology (IT), especially the cloud technology sector, has a more important role to play than ever in driving the transformation.
There is an urgent need to focus on accelerated growth in the field of IT and cloud technology in the next general budget, by creating a sustainable system for public and private institutions. The sector will require dedicated allocation of funds and innovative measures to promote, support and incentivize Indian technology start-ups and enterprises as well as Make-in-India related technologies. This will also pave the way for the development of indigenous technologies designed to solve problems, increase employment and address data security issues.
Ayush Lohia, CEO, Lohia Auto said
The Government of India (GoI) has introduced several new policies and regulations in the last decade to support the EV industry, such as the Faster Adoption and Manufacturing of Hybrid and Electric Vehicles (FAME) programme, which has now been extended till 2024. To facilitate the expansion of enterprises specializing in green mobility, the industry still needs an integrated strategy to encourage the EV sector across the country.
Along with this, additional tax breaks for indigenous EV producers who will make their products in India and accelerate the “Make in India” campaign. Also, to encourage the adoption rate, retail financing of electric vehicles should come under priority lending. Electric 3-wheelers should also get Rs 15,000 per kWh incentive like electric 2-wheelers as cost is one of the biggest hurdles in the expansion of EV vehicles. These new incentives can help in making the traffic on the roads comfortable and smooth by increasing the penetration of electric 3-wheelers in India.
