Proposal for Union Budget 2009-10 - Excise Duty on Automobile Products :-
Global financial crisis has affected number of Automobile Industries of Advance Countries. Many automobile giants like General Motors of USA are suffering due to Financial crisis. India is a growing economy (Per Capita Income and Gross National Income with simultaneous growth of demand for many goods including passenger cars). The present slow down in growth may affect the automobile industry. Most of the automobile industries are in the infant stage. To protect the automobile industry from recession and accelerate the growth of the industry, the Finance Minister should reduce the Excise Duty to a reasonable extent at least for the medium size cars in the 2009-10 budget. Reduction in excise duty will definitely reduce the price of the vehicles and the industry will continue to produce the same quantity. This step by the Finance Minister will safe guard the automobile industry during the financial crisis. 2. Infrastructure Development :- Global financial crisis is mainly responsible for negative growth in many advanced countries. In India, we expect 6-7% growth in the financial year. To accelerate the growth and employment, the Govt has to spend a large amount through public works programmes. India is in need of good infrastructure viz., road, transport, two wheeler lane and communication etc. Road development - National highways and State highways and the rural road should be the first priority for all round economic progress. Public spending / Public Private participation for infrastructure development will automatically increase the demand for basic goods and overall employment in the country. Good infrastructure of international standards will attract more foreign investors to our Country and pave the way for further development in the years to come. G.Nagapillai Managing Director Pillai & Sons Motor Company (Dealer for Maruti Cars) Past President, Chamber of Commerce & Industries Thanjavur | 
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