New Delhi, Mar 1 (UNI) The Auto Industry today gave a thumbs up to Budget 08-09, saying it will boost the car and auto sectors largely due to duty reduction.
The Budget benefitted the Auto sector by reducing excise duty on small cars, two and three wheelers by four per cent, for the manufacturing sector it was cut to 14 per cent.
Besides across the board reduction in Cenvat rate from 16 per cent to 14 per cent.
In a letter addressed to Finance Minister P Chidambaram, the Society of Indian Automobiles Manufacturers (SIAM) conveyed its appreciation saying, ''the Union Budget has recognised the automobile industry as a driver of growth in the manufacturing sector, the economy at large and its ability to further increase employment.'' The increased spending on social sector, infrastructure and agricultural sector including a loan waiver programme have been achieved without imposing any additional taxes on the corporate sector and the manufactured product is truly remarkable, the letter added.
UNI GS/BJR AK HS1840