Easing norms for raising capital from overseas and stable fiscal policies and measures to combat the stronger rupee’s impact on exports were some of the wish list of representatives of leading corporates who participated in a pre-budget discussion organised by the CNBC TV 18 here last night.
Clearing the infrastructure bottlenecks, a crucial link to the country’s exporting industry could alleviate the ordeals of exporters facing the pressures of weakening US Dollar.
While the refrain was on extending the sunset clauses that helped the country make rapid strides in exports, the speakers also wanted the Government to come out with a clear cut policy on Special Economic Zones.
Till the country migrated to the Goods and Services Tax regime, the concessions like export tax exemption under sections 10 A & B should be continued for at least another three years, said Mr Ganesh Kumar Gupta, President of the Federation of Indian Ex porters’ Organisation. He also wanted the withdrawal of the Fringe Benefit Tax levied on export promotion visits abroad by exporters.
Mr Rajinder Hinduja, Executive Director (Finance), Gokaldas Exporters, expressed concern over the delay in the refund of taxes linked to levies like service tax and others. Mr Hinduja also pleaded for a clear stand on the 100 per cent export oriented units, which enjoyed tax exemptions. However, with the concession expected to expire in 2009, the exporters would be pushed to dire straits, he said. Mr Ravi Vshwanath, CFO of Sun Microsystems said though the bigger software companies had, to an extent managed the impact of the stronger rupee through costreduction, but smaller units that were reeling under the problem.
