Pre-budget Expectations from Mr. Kamlesh Patel, CMD, Asian Granito India Ltd
"Tiles industry in India is estimated at around Rs. 35000 crore to Rs. 40000 crore and growing at healthy single-digit employing over 6 lakh people in direct and indirect employment. 40% of the industry is organized while 60% is with small players in Morbi, Rajkot and other clusters. The industry will continue to play an important role in the economic growth in the future and aim for global leadership in the industry and success of 'Make in India'.
We expect the government in its first budget of the second term to continue special thrust on the rural economy, social sector reforms, infrastructure and housing sector. Finance Minister needs to adopt softer interest rates for a time-being and roll out a bigger tax benefit for individual and corporate aiming at increasing the investment - capex cycle, giving a boost to demand cycle aiming healthy GDP growth.
Indian Ceramic industry would aim for a green and environment complaint industry and we welcome the National Green Tribunal ruling to shift to greener fuel. Further, the industry wants the government to ensure maximum compliance for GST and strict implementation of e-way bill.
Tile is an essential commodity and not a luxury commodity and essential in housing and Sanitation hence we request the government to lower the GST to 12% from the current 18%. Power and fuel (largely gas) costs account for around 20-25% of revenues for the tile industry and we would like the government to rationalise the same through lowering duties. To boost exports, we want the finance minister to introduce incentives for exports or exempt profit from exports as provisions earlier.
Special attention is required aiming at creating more employment opportunities in all sectors including strengthening Government departments, private sector and supporting the emerging entrepreneurs.
There is a lot of expectation from the new Finance Minister to increase in the basic exemption limit from Rs 2.50 lakh to Rs 5 lakh. If implemented in this budget, this will give a big boost in improving the consumption story and domestic demand scenario. The government in its first tenure had promised to cut the corporate tax to 25% from 30% at present and we would like to see some steps or direction in this budget.
Sanitation coverage in rural India has gone up from 42% in Oct 2014 to over 70 and we hope that we should soon achieve maximum coverage."
Shares of ASIAN GRANITO INDIA LTD. was last trading in BSE at Rs.238.15 as compared to the previous close of Rs. 248.45. The total number of shares traded during the day was 88696 in over 1484 trades.
The stock hit an intraday high of Rs. 249.9 and intraday low of 233.85. The net turnover during the day was Rs. 21222531.