Budget reaction: Retail, Auto and Manufacturing industry

4 Feb 2022 , 09:26 AM

Budget reaction : Ajoy Thomas, VP and Business Head, (Retail, E-Commerce, Logistics & Transportation), TeamLease 

“I see that the budget is growth-oriented with an impetus on capital expenditure to fuel economic growth and employment generation. Innovations in digital payments systems will help secure transactions in the space and enable offshoots for the e-commerce/m-commerce to grow, thereby, increasing income and generating employment. Giving a push to digitalisation is the elemental thought right now- this move is a big positive push for the government’s “Digital India” programme. The budget was a shot in the arm for the travel, tourism and hospitality sectors but they are still prone to the infectious implications of the new variants, guidelines and restrictions imposed every now and then. Reaching the pre-pandemic levels is a tough challenge for these sectors. Marketplace engines and their allied ecosystem is expected to continue scripting India’s growth story to do more and better. All in all, the budget has focused to bank on the multiplier effect of the economy with targets of economic growth via infrastructure and financial remedies.”

Budget reaction : Indranil Ghosh, VP & Business Head, Auto & EV, Agri & Allied, Construction & Infra, Vertical, TeamLease Services 

The budget had been overall encouraging and positive for the EV sector as a whole. The battery interportebility and formulation of battery swapping standards will go a long way to address the concern for range anxiety which was one of the biggest deterrent for end users. The FM had mentioned that there will be support to pvt sector to build the infra for the EV ecosystem which is a welcome move. We can very soon see a huge ecosystem getting built under “Batteries as a Service” which itself has a potential to generate a substantial number of jobs. The only thing which could have accelerated the adoption of EVs further would have been some sort of low interest scheme from Govt for private and fleet users adapting EVs. Overall the budget has given a green signal for the future & growth of employment in EV and EV Infra sector.

Budget Reaction : Gurdip Singh, VP & Business Head, Industrial and Manufacturing Vertical, TeamLease Services

“While corporates are evaluating the direct impact of the budget on their respective business on a transactional level however from a strategic point of view impetus on PLI for Solar industry, increase in Capex and push on Atma Nirbhar Bharat will be beneficial in the long term. Overall it appears to be a mixed bag for the manufacturing sector. 

The views and opinions expressed are not of IIFL Capital Services, indiainfoline.com