Commenting on the Union budget presented by Union Finance Minister Pranab Mukherjee, Confederation of Indian Industry president Muthuraman said the budget had many growth-oriented measures and it also made efforts towards fiscal consolidation, a release said.
In particular, the timely focus on infrastructure sector was welcomed.
An area of concern for industry is the increase in excise duty and service tax from 10 per cent to 12 per cent. At a time when industry is already facing huge increases in input cost, this would add to the burden. It is possible that this may not yield the revenue the Minister is looking for and instead result in further slowdown in growth while adding to inflationary pressure, the release said.
Chairman of the CII-Puducherry State council K.S. Shetty and vice-chairman K. Amarnath termed the budget “growth oriented.” Mr. Shetty also expressed concern over the industry for the increase in excise and service tax rate, the release said.