(MENAFN- KNN India)
New Delhi, Feb 1 (KNN) Hailing the Union Budget 2025-26, presented by Finance Minister Nirmala Sitharaman, FIEO President Ashwani Kumar commended the government's strategic initiatives aimed at strengthening India's foreign trade, boosting exports, accelerating manufacturing growth, and generating employment opportunities.
He noted that these measures would significantly enhance India's global competitiveness and contribute to sustainable economic development.
Mr. Kumar highlighted the establishment of a dedicated Export Promotion Mission as a key development.
This mission aims to streamline export procedures, facilitate credit access for exporters, and address non-tariff barriers in international markets.
It is expected to particularly benefit MSMEs, which are vital to India's export sector. Investments in port modernization, logistics infrastructure, and digital trade platforms will help reduce transaction costs and improve the efficiency of cross-border trade.
He also emphasized that the simplification of customs procedures, as announced in the budget, would ease compliance burdens and improve the ease of doing business for both exporters and importers.
On the manufacturing and infrastructure front, Mr. Kumar expressed optimism about the continued support for the Production-Linked Incentive (PLI) schemes in key sectors.
These measures are set to attract investments, expand domestic manufacturing capacity, and integrate Indian industries into global value chains.
Increased allocations for infrastructure projects, including railways, roads, and renewable energy, are expected to create a solid foundation for industrial growth and improve trade connectivity.
Further initiatives to enhance skill development and vocational training will equip the workforce with industry-relevant skills, thereby improving employability and supporting the growth of export-oriented sectors.
Measures aimed at promoting MSMEs, including improved access to finance and technology, will foster entrepreneurship and create employment opportunities, particularly in rural and semi-urban areas, Mr. Kumar added.
The FIEO President also welcomed the announcement of a focus product scheme to enhance the productivity, quality, and competitiveness of India's footwear and leather sector.
This initiative will support design capacity, component manufacturing, and the machinery needed for the production of non-leather footwear, in addition to leather products.
Furthermore, the creation of a global hub for toys was emphasized, with a scheme designed to develop clusters, skills, and an ecosystem for manufacturing high-quality, sustainable toys under the 'Made in India' brand.
A significant step in digital trade was also introduced with the announcement of Bharat Trade Net, a unified digital platform designed to streamline export documentation processes.
This platform will help reduce administrative burdens, increase operational efficiency, and promote greater transparency in trade activities.
Mr. Kumar also pointed to the facilitation of shipbuilding clusters as a strategic initiative to enhance India's shipbuilding capabilities.
The development of additional infrastructure, skilling, and technology will increase the range, categories, and capacity of ships produced domestically.
This initiative is expected to not only improve the country's logistical infrastructure but also help India save foreign exchange spent on remittances to foreign shipping lines.
In conclusion, Mr. Kumar asserted that the Union Budget 2025-26 lays a robust foundation for India's economic growth by focusing on critical sectors such as foreign trade, manufacturing, infrastructure, and job creation.
He expressed confidence that the initiatives will enhance India's global competitiveness, attract investments, and create new employment opportunities, contributing to the country's vision of becoming a global economic powerhouse.
Additionally, Mr. Kumar suggested that the Commerce Ministry, having allocated funds under the Export Promotion Schemes amounting to Rs 2,250 crore, should consider extending the Interest Equalization Scheme (IES) from January 1, 2025, with a cap of Rs 10 crore, and approve international events for 2025-26 immediately.
(KNN Bureau)
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