Budget 2016 expectations: Indian telecom sector currently boasts of being the second-largest telecommunications market in the world and has recorded a steady growth. There are some expectations that the industry has from the forthcoming Union Budget 2016- 17, which will address some of the industry’s concerns thereby enabling growth in the sector.
First and foremost, the government should introduce a clear and a time bound plan for the implementations of GST. With this, the government should create a single tax window for the movement of goods, since this would be essential towards freeing up red tape and letting businesses to choose a more flexible model catering to the market. Further, this reform would create employment opportunities in the telecom sector as well as give the companies confidence to grow fearlessly leading to the overall development.
Keeping in mind, the immense potential that the smartphones have to boost education and healthcare in the country, the government should introduce every possible reform to ensure that it reaches in the hands of every Indian. We expect that the government will take measures to promote domestic manufacturing and investments in technology and should therefore make reforms in commodity tax as well as custom policies to encourage and realize true “Make in India” initiative. Especially for the foreign companies that are trying to make the market competitive and consumer centric by assembling SKD products in India should be benefit.
The telecom sector is not only a contributor to the fiscal revenue but it is a key tool for enablement of the country’s growth and we are hoping the current government will further facilitate the growth of the telecom sector.
By Syed Tajuddin, CEO, Coolpad India