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“India is stepping towards becoming global manufacturing hub and it is anticipated that by 2030, it can add to the tune of $500 billion annually to the global economic stake. In the budget 2022, the focus should be on rationalization and simplification of taxation within the given fiscal space. The much-anticipated tax relief would increase consumer confidence and keep demand robust. Following the Covid-19 outbreak, the manufacturing industry is undergoing a transformation, with global supply lines being disrupted. The emphasis currently is on 'reshoring' manufacturing processes and reestablishing markets with faster delivery times. The government's 'Vocal for Local' program need more policy support to adapt to lower working capital and boost resiliency. Also, with the start of work on new scheme for several manufacturing sectors with an outlay of about Rs 16,600 crore for the next five years to support technological upgradation in existing clusters and MSMEs, we might hear some announcement in the upcoming budget. ”

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Yogesh Mudras, Managing Director, Informa Markets India

“The hospitality sector, which employs millions of people in the country, has proved to be a resilient one, while continuing to be challenged by the peaks and troughs of the pandemic. With the Union Budget due to be presented on 1st of February, people are eagerly waiting for the Finance Minister to announce benefits and exemptions for industries affected due to the ongoing coronavirus pandemic. This includes the hospitality sector, which is looking for incentives and lower taxes. According to industry data, more than 24 lakh people lost their jobs in the hospitality sector, after over 25 percent restaurants were shut owing to protocols discouraging unorganised gatherings.

The hospitality sector has advocated for travel expenses to be made deductible under the Income Tax Returns in the upcoming Budget till the sector bounces back to its pre-pandemic days. The measure can also help Meetings, Incentives, Conferences and Exhibitions (MICE) tourism to shift from low-cost destinations such as Southeast Asia to places within India. The Government of India’s tourism policy should strengthen and build capacity to provide better services and facilities to the tourists visiting the country. To kickstart inbound travel, the government should focus on opening international travel in a regulated manner. All the airports, railways and road transport should have adequate measures for public safety. Safety guidelines should be clearly defined to tour operators and hospitality operators.”

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Dr. Akshay Singhal, Founder, Log9 materials

In the upcoming Union Budget, from the EV ecosystem perspective, we hope to see that the  FAME Subsidy corpus should be extended to EV retro fitment kits. Additionally, more R&D incentives should be given for energy storage and EV technology-related developments in India, as well as R&D investments made into local technology developments, which should be made 100% adjustable against corporate taxes.

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Mr. Deepak MV, CEO & Co-Founder, Etrio

"At a time when EV adoption is gaining unprecedented momentum despite many challenges, in the upcoming Union Budget 2022, we at Etrio would like to see the Finance Minister address the critically-important area of making wide and varied range of financing options available for EV commercial vehicles' buyers – as this is extremely critical for further increased uptake of EVs in India, going forward. To this end, the Government should make the EV sector a priority lending sector for the financial institutions. Additionally, reducing the GST taxation on Lithium-ion batteries and EV spare parts and components can also be a great step forward from the EV manufacturing and OEM point of view. Given that increased adoption of EVs in the logistics and last-mile delivery segment is the  need of the hour to reduce Carbon emissions, the Government must also come up with additional sops or incentives for the nation’s fleet aggregators to switch entirely from IC engines to EVs in order to pave a sustainable and zero-emissions future. Last but not the least, we also hope that this Budget answers the need for revitalizing the B2B retrofitment (ICE to EV conversion) space pan-India by bringing retrofitment under the ambit of FAME-II."

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Mr. Abhishek Pathak, Founder & CEO, Greenwear

“I expect the budget to lay down a 5-year plan to increase participation/usage of renewable energy resources by decentralized small industries and craft sector. The government should ensure growth in procurement from start-ups working with renewable energy resources. The textile industry alone has the potential to reduce carbon footprint by a huge margin along with creating jobs at the local level. The textile and Fashion industry needs urgent reforms in order to reduce polluting earth. We are taking one step at a time and currently are very small against the problem. However, we believe that the solar-vastra value chain if added with natural fibers and organic processes will create immense impact in reducing carbon footprint from the textile industry. If only 5% of Indian villages become solar charkha clusters (around 30,000), it can produce 180 Cr kgs cotton yarn which is almost 50% of India’s current cotton yarn capacity, and generate livelihood for 1.2 Cr people without migrating from their villages.”

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Shivam Singhee, CEO & Co-Founder, Awshad

As a startup in the wellness and medical cannabis space, we have benefited from the earlier government initiatives like the startup initiative and the Make in India initiative that helped us create a space for ourselves. However, in 2022 we hope to see the Government will expand on these schemes and help home-grown brands grow and thrive in the Indian market. We also hope there will be incentives in place to help Indian brands expand their markets internationally and help bring FDI to the exponentially growing wellness sector. We also hope the government will offer more tax relaxation to startups in the wellness space to help them compete with giant multinationals eyeing to control this sector.

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Ms. Shalu Jha, Co-founder & Director, PRandit Solution

"At a time when the Covid-19  threat is still looming large on the Indian economy, the upcoming Union Budget should focus on enabling collective economic growth and supportive aid for various industry sectors, including the services sector and the media sector. At the same time, I would also like to see a focused push and incentivization for digital media platforms and startups in the media and communications industry in order to allow them to prosper. Especially given that the accelerated adoption of digital and social media networks has now given more power in the hands of the nation's consumers, some stimulus packages and futuristic policy moves focusing on digital infrastructure building and media-tech will be furthermore welcome and encouraging."

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Mr. K.E. Ranganathan, Managing Director, Roca Bathroom Products Pvt. Ltd

"India has done exceedingly well on Covid front with minimal damage to human lives and economy during year 2021-22. With superb execution of vaccination, calibrated unlocking and surge in pent up demand, all leading to well deserved likely 8.5% GDP growth in 2021-22

The game now shifts to year 2022-23 Budget making. Time is ripe to ride on the success of 2021-22. With Covid firmly under close monitoring, better preparedness at State level and overall hygiene aspects gathering momentum at people level, the Government can now focus on 'heavy lifting' of economy thru Investments in infrastructure and making funds available thru the financial system for scores of MSMEs and Gig workers to play the catalyst role.

Also, Government should help generate more demand from consumer side thru adequate measures like Sops, tax benefits, concessions etc. Tourism presents a great opportunity both for international tourists and within India local tourists, as people are mad after getting out of home.

Investments in the direction of Hospitals, research and development in pharma sector, primary health care across all key cities and semi-urban/rural areas will help manage increasing need for such facilities due to outbreak of pandemic like Covid.

By 2030 there is a clear indication for India to move to 3rd spot globally on Forex/GDP size (behind USA and China). From the current 7th position. This can be possible with a good direction in the development of the country in driving investments, providing top class governance and making India the first port of call for foreign investors. As a large consumption market, we can offer the world the best of everything to grow consistently.

On the real estate front, there is still a large shortage of over 40 million homes in India to make everyone live in a good home. With work-from-home gaining popularity (even as a normal way of working), the need for homes and rooms have grown substantially. Measures on RERA are helping regulate this industry, the 2nd largest employer. The urgent need here is to help reputed builders have access of good land parcel and financial system. The Government should work in this direction. The inflationary pressure on building materials needs to be brought down. GST rates are still high for building products, providing scope to reduce. This will stimulate further demand for homes. "

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Mr Lalit Beriwala, Director, Shyam Steel Industries Ltd

India’s micro, small and medium enterprises is second in number only to China. MSMEs are integral to our economy contributing 30% to the country’s GDP, 50% to the export and employment generation of over 100 million, next only to the Agri sector. Their contribution towards delivering social justice for containing regional disparities and equitable economic growth are no less important factors for the Government to take note of.

Improved performance of MSME sector is vital for achieving global benchmark efficiency and quality of products being manufactured in India, as it supplies goods and services to big industrial enterprises. The Government, therefore, should invest in providing backend services to improve performance of MSMEs. Lack of technology-based production and low investment in research and development are bottlenecks for the sector to become globally competent. Government could subsidise internationally available technology for adoption by MSME players to improve their product quality, utilizing their existing resources. Hand holding by designated academic institutes of repute in the same geographical territory for product innovation can also support their cause.

For a more equitable distribution of national resources, policy support to MSMEs also can help unleash their potential. For example, if the Government decide to roll out PLI schemes exclusively meant for MSMEs, it can provide them with a coverage against fierce competition with the bigger business houses to stake claims on incentives for improved performance.

Growth of Indian steel industry has been driven by domestic availability of raw materials such as iron ore and coal. Consequently, steel sector has been a major contributor to India’s manufacturing output. For MSMEs to play a bigger role, Government may consider allocation of smaller mines of Iron Ore and Coal through the e-auction process amongst MSMEs alone, which will protect them from the competition with the bigger businesses.

MSME sector, therefore, look forward to an enabling ecosystem provided by the Government in the manufacturing and steel industry domain, with budgetary and policy support, to emerge as an equal partner in making India self-reliant and transcending it to a $5tn economy.

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Rajan Aiyer,

Vice President and Managing Director,

Trimble, South Asia Region.

"There is a wide consensus that the construction sector will lead India's economic revival in the post-pandemic era. With this background, we look forward to continued support from the government in this year's Budget with additional allocations to the existing infrastructure schemes and announcement of new infrastructure programmes to accelerate India's journey towards a $5 Trillion economy. Finally, we would like the government to provide incentives for digital technology adoption across the work-flow, preferably mandate its use in key projects such highways, airports, ports, rail, and waterways to start with, as this will not only help accelerate the digital transformation of the construction industry but also encourage timely, sustainable and environment-friendly construction."

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Mr. Atul Kunwar, Co-founder & Chairperson of Hygge Energy

Environment friendly and other sustainable technologies to be the focus for the Government in Union Budget 2022

The Finance Minister is expected to make a strong pitch for the development of the electric vehicle ecosystem owing to the Government’s commitment towards reducing the carbon footprint and green-house gas emissions. This is in line with the decisions taken at Paris and Glasglow to target net-zero emissions by 2070, and the Government’s pledge to target Zero Emission by vehicles by 2040. Whilst the country is caught up in the throes of the third wave of the pandemic, the Finance Minister is expected to come up with provisions for the economic revival, after two consecutive years of unimaginable loss of lives and livelihood.

One such company looking at disrupting the traditional Power and Energy sector is Hygge Energy is committed towards creating a renewable energy trading and EV Charging marketplace for communities globally that will reduce energy prices for consumers, improve return for utilities, and increase RoI for Storage, Solar and other local generation owners. “The Union Budget 2022 is an opportunity to aggressively promote renewable energy driven rapid EV adoption as a mission. This is crucial for a cleaner environment and reducing India’s dependency on fossil fuel imports.

The goal of zero-emission e-mobility, powered by EV charging from renewable energy rooftop solar as well as wheeled energy requires a framework for harmonized pricing. This will open up a $7-8 billion carbon credit market for the EV ecosystem for deploying renewable energy sources for EV charging and reduction in tailpipe emissions and thereby drive rapid adoption”, said Mr. Atul Kunwar, Co-founder & Chairperson of Hygge Energy.

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Mr. N.K. Rawal, Managing Director & CEO of ETO Motors

India’s leading provider of electric mobility and EV Charging solutions company, ETO Motors have also carried out several high-impact EV charging infrastructure projects across the country, installing almost 4000 MW of charging stations. ETO Motors have also been instrumental in accelerating the initiative of creating India’s first 100% Electric Vehicle City in Kevadia, Gujarat. “The Union Budget 2022 must focus more on the institutional and mass adoption of EVs’, especially incentivizing fleet operators, logistics players and OEMs’ who are focused on commercial logistics application. The Indian EV sector is at a nascent stage but can be a fantastic combination of Auto and Electronics that contributes to almost 7% and 16% of the GDP. The Government should look at mandating all hyper local and last mile Ecommerce/non-Ecommerce deliveries through EVs’, rigorously deploying Carbon Credit system and encourage organization that pursue sustainable methods. Lastly, mandating Charging (slow/Infrastructure) to buildings and public places through amendment to law, and making land parcels easily available for charging station enthusiasts and business owners, will ensure that the development of the EV ecosystem is at full throttle”, said Mr. N.K. Rawal, Managing Director & CEO of ETO Motors.

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Logistics Sector: By Soham Chokshi, CEO and Co-Founder, Shipsy

There is a growing need to make logistics sustainable. The government needs to build policies that ensure subsidies for using electric vehicles to execute delivery operations, especially in the last-mile. We are also witnessing a significant need for Indian businesses to leverage AI, Machine Learning, predictive analytics and more. Robust plans and investments must be made to empower the country’s youth to understand, manage and use these disruptive technologies. According to research, AI in the logistics and supply chain market is predicted to clock a CAGR of 42.9% by 2023, and it will reach USD 6.5 billion by then. The scope is massive.

Another critical area that seeks greater attention is the export-import (EXIM) side of India’s supply chain operations. Currently, EXIM operations are riddled with silos creating challenges on freight procurement, shipment visibility, and customs operations. The government must build policies that will drive disparate EXIM stakeholders, like manufacturers, retailers, freight forwarders, shipping lines and more, to embrace a unified platform to execute, track and manage cross-border supply chain activities.

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Fintech Sector:

By Mr. Kumar Abhishek, Founder and CEO, ToneTag

The government has consistently driven programs like Digital India, which has catalyzed digital penetration and financial inclusion. With the groundwork prepared, information and education about digital payments, both online and offline, must be encouraged proactively across all geographies of the country.

We are hopeful that the upcoming budget will focus on bolstering the digital infrastructure of cooperative banks across the country and initiate reforms that drive digital financial inclusion.

It is also crucial to capitalize on the success of homegrown technologies such as the UPI and encourage tech startups to invest in R&D and explore avenues to leverage existing tech and create new products. We are hopeful that the upcoming budget will consider offering tax benefits and incentives; thus encouraging innovation.

By Anurag Garg, Founder and CEO, Nivesh.com

There has always been a high buzz around budget season which comes with a lot of expectations. This year's Union Budget could see the Finance Minister announce plans to boost India's investment cycle  while, at the same time, laying out the roadmap for fiscal consolidation. The pre-budget recovery seen in some sectors may spread to other segments in the following days. Here are our expectations from the budget this year:

The government’s prime focus while preparing Budget 2022 would be planning a robust growth map to revive the economy impacted by COVID-19. Towards this the focus is likely to be a higher outlay on capital expenditure including infrastructure. Government would likely continue asset monetisation to fund the capital expenditure.

Focus will be on ease of doing business. Government may announce reduction in various approvals and more single window schemes to boost manufacturing towards Atma Nirbhar Bharat. Further steps could be announced to ease tax litigation and boost compliance by greater oversight of transactions.

Effort will be on further boosting exports which are already doing well. Exports are a big opportunity for the country in the current scenario of global anti-China sentiment and the government would like to take all steps to ensure global competitiveness for export oriented sectors.

Inflation is a big worry in the current scenario and we could see efforts to curtail further rise in prices. It could be possible that excise duty on petroleum products is reduced to help industries manage their costs.

Sectors specifically impacted due to Covid like hospitality and travel may also see some special support measures as good health of these sectors is important for continued economic growth.

MSME sector is also likely to get more financial support and reforms surrounding import substitutes to promote self-reliance and domestic manufacturing.

We expect a big focus on promoting alternative energy sources including solar energy to reduce carbon footprint as well as to tackle pollution related issues.

The Budget is directed towards growth and hence the fiscal deficit is likely to remain high for next year. It is expected that a fiscal deficit for next year may be around 6.3% to 6.5%. Revenues are likely to remain buoyant, thus the high fiscal deficit number highlights the fact that there will be higher expenditure.

The government's judicious and timely stimulus in the first wave was a smart decision, however, to continue upward trajectory a suitable support might be needed to the economy through this budget.

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Edtech Sector:

By Amit Agarwal, Founder and CEO, OckyPocky:

The education sector has undergone significant changes and is still evolving. Education has progressed to the point where textbooks, teachers, and traditional classroom-based learning are no longer adequate, necessitating the use of an engaging, interactive classroom to ensure effective learning.

The government’s budget has set new precedents by encouraging the right kinds of economic activities on multiple occasions. However, now it’s time to focus on investing in Bharat’s intellectual capital from non metro cities. There is a growing need that the government must subsidize the middle class, who constitute the majority of Bharat, to claim tax exemption on their ed-tech spending under section 80C.

Furthermore, an extension of the time limit to qualify for capital gains tax exemption for early-stage investors or micro funds with a size of less than $25 million by investing in startups would result in more capital being made accessible to emerging startups. We hope that the government considers extending such time limits indefinitely in the coming years to have a sustainable support mechanism around startups, similar to what other countries have done.

Additionally, programs like First 5 in California are committed to advocating for the needs of the state’s youngest kids. It brings together partners and leverages funding sources to support kids’ overall development, including cognitive, emotional, and physical well-being. Narendra Modi and the government, too, need to work on implementing such policies effectively on a large scale that are in line with the NEP (National Education Policy) to make the policy a massive success in education.