New Delhi: Union Finance Minister Nirmala Sitharaman on Thursday held the fourth Pre-Budget consultation meeting with the stakeholders and experts from export, trade and industry sectors in connection with the upcoming Union Budget 2025-26.
“The discussions focused on key challenges and opportunities in the trade and services sectors to ensure their strengthening in the upcoming budget,” said Minister of State (MoS) for Finance Pankaj Chaudhary in a post on ‘X’.
Senior officials from the Finance Ministry and the Commerce Ministry also attended the key meeting. Chief Economic Adviser to the Government of India was also present during the consultation meeting.
During the pre-Budget consultation meeting, engineering exports promotion body EEPC India has proposed to introduce a 25% income tax slab for MSME manufacturing units that are partnerships, LLPs, or sole proprietorships with the condition that the extra 10% saved must be reinvested in the business.
“This will give MSMEs extra cushion of 10% for expansion/working capital improvement and improve their liquidity. This will also generate employment due to expansion undertaken by MSME units,” the industry body said.
Among other proposals, EEPC India has recommended to establish a transparent and effective mechanism to ensure MSMEs access steel at affordable price, balancing the interests of both producers and users.
“The introduction of a safeguard duty on certain steel imports may increase the landed cost of steel, leading to higher domestic prices. For MSMEs, steel constitutes 60% of their production costs, making them vulnerable to global competition and potential job losses. While steel producers have agreed to supply steel at export parity prices, MSMEs often purchase from intermediaries like agents or distributors,” EEPC India Chairman Pankaj Chadha said.
UNI
