The Union Budget has garnered a diverse response from industries. Even as leading industrial associations in Coimbatore have well-received certain announcements, some MSME associations have shared disappointment.
SK Sundararaman, chairman of the Southern India Mills’ Association (SIMA), shared, “The drop in customs duty on methylene diphenyl diisocyanate (MDI) from 7.5 per cent to 5 per cent will improve the global competitiveness of textile manufacturers utilising spandex yarn.”
J James, president of the Tamil Nadu Association of Cottage and Tiny Enterprises (TACT), shared concerns over the lack of reductions in bank interest rates to 5 per cent, lack of subsidies up to 15 per cent for machinery purchases, no setup of an industrial park for MSMEs in Coimbatore, and no changes to the SARFAESI Act.
M Jayabal, chairman of the Recycling Textile Federation, shared that the budget did not rally up to the expectations of MSMEs.
