Implementation of GST will make tax system less complicated

June 23, 2016 12:19 pm

Many new policies which are implemented under the ‘Make in India’ program have been a help for Indian manufactures too. Trade within as well as outside the country has been made easier now with the implementation of new policies.Rahul Sagar, Assistant General Manager, Maini Materials Movement
  ‘Make in India’ initiative is an efficient step by the government of India to boost up the developing economy of the country. It aims to position India as a global manufacturing hub, offering endless aids to foreign nations to set up their plants in India. Since this initiative was launched, it has attracted investors from around the globe to invest their capital in India. This investment is mainly expected to be in manufacturing sector but IT is also believed to get benefitted from this program. Since its launch in 2014, the country has seen huge investment in automobile Industry, mainly in the four wheeler segment followed by two wheeler and tire industry.
Government of India has been careful about trade policies this year and has introduced several steps to improve the business environment by easing processes to do business in the country, and attract foreign investments.
Benefits from ‘Make in India’‘Make in India’ campaign aims to bring the manufacturing giants of the world to India. It targets overall development of manufacturing infrastructure of the country. Many new policies which are implemented under this program have been a help for Indian manufactures too. Trade within as well as outside the country has been made easier now with the implementation of new policies. Processes are simplified and being made online to make things easier and faster. Indian manufacturers can also now pitch foreign markets for sale of their product.
India’s manufacturing sector has also witnessed technological growth since the launch of ‘Make in India’  program because of technology transfer from other developed economies to India. The best example of this is the cell phone market.
Varied reasons for India to be preferableWith the launch of ‘Make in India’ initiative, many global companies have come up showing interest to invest in India by setting up manufacturing facilities. India is being looked as preferred destination for global investors because of following reasons:• Low manpower cost: India has a good population of unskilled worker force along with engineers and skilled workers to assist in developing infrastructure of the country.• Availability of natural resources: India has ample of natural resources to utilise, but because of continuous exploitation of the non-renewable resources since many years, the country is standing on the end of these. Therefore the government is now stressing on use of renewable resources.• Transparent policies: Government with the advent of ‘Make in India’ campaign has come up with many policies to facilitate manufacturing in India. It has simplified procedures for processes like license issue and also plans to come up with single window clearance for import and export.• Stable government: India’s stabilised political scenario also attracts foreign nations to invest in the manufacturing infrastructure.
Implementing GST will ease tax system The government has made many policies lenient to make investment flow easier for outsiders interested to invest. A new committee has been formed specially to cater the requirements of investors, which aim to reduce the response time for a foreign investor’s interest from months and years to hours and days. Apart from these steps toward success of this campaign, the tax system still needs some upgradations which are into pipeline currently. One of this is implementation of GST. Implementation of GST will make the tax system less complicated in the country and hence will attract more investors.
Maini’s initiative towards ‘Make in India’Maini Materials Movement (a Maini Group Company), recently launched 25 tonne Electric Tow Tug for aviation support applications at India Aviation 2016, held at Hyderabad. This Tug is designed to tow small aircraft, ground support equipment, baggage trolleys and air cargo containers, among others. Maini is proud to be one of the first movers in this category as a ‘Make in India’ initiative and will expand its portfolio of tugs.
India’s manufacturing sector has also witnessed technological growth since the launch of ‘Make in India’  program because of technology transfer from other developed economies to India.