Coimbatore's Responce For Buget
The industries in Coimbatore have expressed disappointment that some of their demands have not been met in the State Budget even as they welcomed announcements on subjects such as infrastructure. The Indian Chamber of Commerce and Industry (ICCI), Coimbatore, has called the State budget “trade-friendly” and said the long-pending demand of reducing Sales Tax on certain items was met in the budget.
The chamber had represented that manufacturers whose turnover was less than Rs. 5 lakh and traders with less than Rs. 10 lakh turnover between January 1, 2007 and March 31, 2007 should be given benefits under Value Added Tax (VAT). This was accepted and about 10,000 small-scale manufacturers and traders would benefit. The chamber president Mahendra Ramdas urged the State Government to persuade the Central Government to reduce the Central Sales Tax to one per cent from April 1, 2009.
Coimbatore District Small Industries Association president K. Ilango said in a release that there was however, no proposal to meet the immediate power crisis. The Government had not announced any measure to improve the situation for micro and small-scale units in the State. Further, capital subsidy was available only to micro, small and medium enterprises in industrial estates and industrially backward areas. The scheme should be available for all units, irrespective of the location. More funds should be allocated for infrastructure facilities in Coimbatore to meet the needs of this economically growing city, he said.
President of the Southern India Engineering Manufacturers’ Association Jayakumar Ramdas has said in a release that the association welcomed the announcements on setting up of new colleges and creating more infrastructure facilities. The Planters’ Association of Tamil Nadu said the budget had not addressed “the dichotomy of a higher rate of four per cent VAT levied on teas sold by the corporate sector tea producers at the tea auction centres at Coonoor and Coimbatore.”
