After the Finance Minister Nirmala Sitharaman presented the Union Budget 2019, the Chairman of Rasna Pvt Ltd Piruz Khambatta analysing the Budget elaborated on the pros and cons of it.
Speaking of the impact of fuel hike, he stated that industries like the FMCG were not targetted in the Budget.
The Chairman Rasna Pvt Ltd said, "There are two problems which she's not addressing one is FMCG and many industries are going through a total slowdown and I don't know how this budget is going to help them in the very slowdown in a very short time, I don't see that."
"Second there is an intention of the government that we want to become a $5 trillion dollar economy, it won't come without private sector investment which is dried up, people are not investing, Indian companies are not investing, foreigners are not investing, they're probably buying off cheap assets. But there is no real greenfield investment by Indian or foreign companies," he added.
Further criticising the Budget, he added that there has been nothing 'concrete' announced in the budget. He listed the reasons why the private sector cannot get into agriculture.
He said, "I don't see anything which has been announced in this budget except for batteries, TVs and solar, I don't know anything concrete which has been announced in this Budget, which will get this slowdown out and get more private sector investment. Just a few days back the Prime Minister announced that he wants more corporate players in agriculture, he went on record and said you come in agriculture, but how do we come because the sector is closed for us. How do we come when the taxes are so high. So I think we were expecting a lot other things which would be announced so that more and more private sectors some into agriculture to give an example, that is lacking."
"Similarly, exports, why can't we export things we are already making. So how exports can be enhanced with income tax benefits, income tax allowances by getting more technology, depreciation. If they can say GST on solar vehicles can go down to 5%, why not on food processing? There are so many food processing products on aam aadmi, for example, biscuits, sherbet, idli mix are on 18%," he added.
Khambatta moreover listed the pros of the Budget announced, however, stated that giving farmers Rs. 6000 as proposed under the PM-KISAN scheme is not a way to 'make them rich'
He said, "The budget is quite good in terms of the digital economy moves, the simplification of returns, the simplification of forms. I think the budget is good."
"When I talk about concrete steps to revive the economy, I don't see those. I always say this, you give a farmer 6000 rs that will not make him rich, that is like saying I will give a poor man lunch every day. We need to create an ecosystem where he becomes big," he added.