Commitment to Sustainability in the Union Budget
– Dhiren Jatakia, Head of Finance and Accounts, Covestro India
The Union Budget 2024 is a progressive step towards fostering economic growth and sustainability. Revamping the tax structure and custom duty will bolster business confidence and investment in India. The focus on skill development, energy transition and the development of small modular nuclear reactors aligns well with our commitment to sustainability. Additionally, the enhanced support to MSMEs and the introduction of employment-linked incentives will significantly benefit our workforce and supply chain. Overall, the budget’s emphasis on innovation, infrastructure, and inclusive growth presents promising opportunities.
Gives a leg up to Manufacturing
– Rajesh Khosla, CEO, AGI Greenpac
The Union Budget 2024 presents a promising outlook for India’s manufacturing sector. Increased allocations for infrastructure and technology are significant steps towards solidifying India’s position as a global manufacturing hub. The focus on employment-linked skilling initiatives is particularly encouraging. By incentivizing job creation, the government is empowering young talent and fostering a more productive workforce. We are optimistic that these measures will create a robust manufacturing ecosystem and contribute to India’s economic growth.
Positive Measures for EV Batteries
– Vikram Handa, MD, Epsilon Group
Overall the Union Budget presents positive measures for various industries. For the battery sector specifically, the government’s proposal to fully exempt customs duty on critical minerals like lithium and nickel would definitely benefit industries in the electric vehicle (EV) battery supply chain in the short term. However, more needs to be done to develop cathode and anode manufacturing factories in India to develop the EV ecosystem. Towards developing the EV ecosystem, Indian government has been facilitating bilateral talks with many countries for acquisition of critical minerals mines for the last 2-3 years. It is imperative to focus on the end users for critical minerals which are not battery factories but processing companies, manufacturing anode, cathode and electrolyte. These companies need to be incentivized so they can further invest in domestic and foreign critical mineral assets.
Promotes Innovation and Growth in the Agriculture sector
– SK Chaudhary, Founder Director, Safex Chemicals Ltd.
The Union Budget is quite progressive for the agriculture sector. The abolition of the Angel Tax is a visionary step that will significantly empower startups, catalyzing innovation and growth within the agricultural sector. This, along with the comprehensive review of agricultural research, announces a new era of productivity and climate resilience. The introduction of the National Cooperation Policy promises a structured and inclusive development of the cooperative sector, which is crucial for the collective progress of our farming communities. The release of 109 new high-yielding and climate-resilient crop varieties is a testament to the government’s foresight in fortifying our food security amidst changing climatic conditions. The push towards Atmanirbharta in oilseed production reflects a strategic move towards self-reliance and a reduced import burden. We are also inspired by the government’s commitment to natural farming, with plans to initiate one crore farmers into this practice and establish 10,000 bio-input resource centers. The establishment of a Digital Public Infrastructure for agriculture will revolutionize the way we approach farming, with digital crop surveys and the issuance of Kisan Credit Cards under the Jan Samarth initiative paving the way for a tech-enabled agricultural landscape.
Promotes Infrastructure, Manufacturing and Skills Development
– S. Sunil Kumar, Country President, Henkel India
The Union Budget offers a strategic roadmap to consolidate India’s economic gains and propel it towards new heights. It has identified several key growth catalysts such as Manufacturing and Services, Employment and Skilling, Infrastructure Development, Innovation, and Research. Collectively, these will advance the nation towards a ‘Vikshit Bharat’, reflecting a commitment to sustainable and inclusive growth through targeted investments and strategic development. With a significant allocation of Rs 11.11 lakh crore towards capital expenditure for FY 2024-25, the government is paving the way for robust infrastructure development and sustainable economic growth in India. Over the next five years, the focus on large-scale projects has the potential to transform the economic landscape, reduce logistical costs, and improve the efficiency of transportation networks. It is also promising to see the government taking measures to boost job creation in the manufacturing sector, a key contributor to the country’s GDP. The government has earmarked over Rs 3 lakh crore for schemes benefiting women and girls and boosting their participation in the workforce. It is a welcome development that will unlock productivity, promote social equity, and enhance India Inc’s journey towards a more diverse and inclusive workplace. By leveraging the full potential of all talent, including women, industries can build a more robust and capable workforce.
Welcomes Job Opportunity Creating Measures
– Pankaj Poddar, Group CEO, Cosmo First
India’s packaging industry is growing at a healthy pace and is contributing significantly through the export route to the exchequer. There is a need to enhance skills for youth, innovation, and R&D support for the sector. We welcome the focus in the budget on creating job opportunities in the manufacturing sector and this coupled with support to the employers will propel the industry to new heights. Further, the introduction of credit guarantee scheme for MSMEs and facilitating term loans to MSMEs for purchase of equipment without collateral or guarantee will go a long way to enhance access to capital in the sector.
Catalyses Energy Transitions and Emissions Reduction
– Manish Dabkara, Chairman and MD, EKI Energy Services Ltd
Finance Minister Nirmala Sitharaman’s budget speech outlines a thorough strategy to drive India towards sustainable development and energy security. It is a great example of right things at the right time. The roadmap for hard-to-abate industries transitioning from energy efficiency to emissions efficiency, with utilisation of carbon market instruments, aligns with our mission to promote carbon/environmental markets derivatives in reducing carbon footprints. We are excited to support Indian industries in this critical shift, leading from the front to nurture a greener and more sustainable industrial landscape. The promotion of water supply, sewage treatment, and solid waste management projects shows the government’s dedication to sustainable urban development and will encourage more sustainability solutions businesses, especially in tier 2 and 3 cities to come up. The rooftop solarization scheme, is a landmark initiative that promises significant strides in renewable energy adoption, laying groundwork for India to become a leader in the green energy transition among developing countries. Pumped storage projects promotion will be important in integrating renewable energy into the national grid. Advanced ultra-supercritical thermal power plants development is noteworthy. A strong nuclear energy endorsement with focus on R&D for small and modular nuclear reactors, is a watershed moment for country’s energy independence. We are particularly excited about the focus on extended producer responsibility, in Critical Mineral Mission which will ensure that producers take active roles in recycling and managing the lifecycle of critical minerals, fostering a circular economy and reducing environmental impact.
Measures to Rejuvenate Agriculture through Science and Technology
– Vimal Kumar Alawadi, Managing Director, Best Agrolife Ltd
The Finance Minister (FM) must be congratulated for the Budget’s compassionate vision with its focus on the poor, women, youth and farmers. Since climate change has been impacting agricultural output, it requires a sustained emphasis to shift Indian farming from its reliance on rains to an irrigation-led ecosystem. Accordingly, the FM mentioned that the Budget’s key priorities include productivity and resilience in agriculture. With this in mind, the decision to opt for a comprehensive review of India’s agricultural research setup to create climate-resilient varieties and boost productivity will benefit domestic food security. The move to initiate 10 million farmers into natural farming over two years is also welcome, although one should not overlook the key role of reliable agrochemical products in safeguarding crops to boost productivity. Other beneficial measures include the proposed partnership between the Centre and the states to advance digital public infrastructure for agriculture; strengthening the production, storage and marketing of pulses and providing finance for shrimp farming/marketing, among others. However, one was hoping for a higher capex allocation that would have been an increase on the interim Budget outlay of Rs11.11 lakh crore, which equates to 3.4% of the GDP. Here, the FM choose to maintain the status quo.
Skill Enhancement Schemes announced will drive Growth and Employment
– Anand V S, Managing Director, NOCIL Ltd
The Union Budget announcement by the government, which aims to skill 20 lakh youth over 5 years and upgrade 1,000 Industrial Training Institutes, is a significant move towards empowering the next generation. A highly skilled workforce becomes crucial as the chemical sector continues to evolve with technological advancements and innovation. Proficiency in the latest technologies and innovative techniques is vital for maintaining competitiveness. Skilled professionals are also essential for navigating stringent environmental and safety regulations, ensuring compliance, and avoiding costly penalties. Managing the complex chemical processes involved in chemical manufacturing requires a skilled workforce to ensure high-quality production while minimising errors and safety risks. As sustainability becomes increasingly important, skilling in green chemistry and environmentally friendly processes is necessary to meet the demand for sustainable products and reduce environmental impact. The chemicals and petrochemicals sector in India, with a current market size of around $220 billion, is expected to grow to $300 billion by 2030. For companies like NOCIL, in the rubber chemicals sector, these advancements are particularly pertinent. The need for skilled workforce that can adapt to emerging markets and new applications is very crucial for industrial growth. By aligning course content with industry needs, the government’s budget allocation, which includes a total central outlay of ₹2 lakh crore and a ₹60,000 crore skill enhancement scheme, will modernise ITIs and support a skilled workforce. This initiative is expected to drive growth and contribute to the overall development and competitiveness of the chemical industry, benefiting both the youth and the entire chemical and allied industries.
Driving Renewable Energy for Independence, Environmental Sustainability, and Future Resilience
– AK Tyagi, Founder, Chairman and Managing Director, Nuberg Engineering Ltd.
The Budget 2024 includes bold and progressive measures that deserve praise. In line with the dream of a Viksit Bharat, bringing in a policy paper on energy transition routes is a big move to balance growth environmental protection, and jobs. This complete approach will be key as we deal with the tricky scene of changing our energy use.
Auctioning offshore mineral blocks and creating a policy for electricity storage shows a practical approach to boost our energy infrastructure. These steps, along with efforts to add more renewable energy, will spark new ideas and make the sector more productive.
Working together on R&D for small modular reactors and looking into new tech is important. By putting money into Bharat Small Reactors and modular reactors, the government isn’t just pushing nuclear tech forward, it’s also opening doors for businesses to get involved.
The success of PM Surya Ghar Muft Bijli Yojana and ongoing help for PM Awas Yojana Urban 2.0 show a real dedication to improving lives through better energy access and housing. The planned pumped storage policy will tackle the on-and-off nature of renewables, which you need for a power grid that won’t let you down.
Also, NTPC’s teamwork with BHEL to build an 800 MW plant using AUSC technology marks a big step forward in advanced power generation. Solar power stays a key part of our renewable energy goals, with a clear plan to reach 500 GW by 2030. This shows our dedication to cutting down on fossil fuel use and fighting climate change.
While the measures in Budget 2024 will advance renewable energy initiatives, achieve energy independence, mitigate environmental impacts, and create a resilient energy system for future generation
s, we wish more had been done to accelerate the development of Green Hydrogen. A greater emphasis on this promising technology would significantly bolster our sustainability efforts and reinforce our commitment to a greener future.
This technology holds great promise, and putting more effort into developing it could really strengthen our sustainability goals and show our commitment to a greener future. Our goal is to build on the Budget 2024’s progress by advancing renewable energy and boosting Green Hydrogen development. This will help us achieve a more sustainable and greener future.
