Budget 2022: APMC traders expect Centre not to increase their tax burden

The Agricultural Produce Market Committees are desperately looking for a helping hand from the Narendra Modi government.

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Bengaluru, First Published Jan 30, 2022, 1:17 PM IST

With the country battling yet another wave of Covid-19 and many states imposing strict restrictions, the Agricultural Produce Market Committees desperately seek a helping hand from the Narendra Modi government.

Ahead of the Budget 2022 presentation, Ramesh Chandra Lahoti, member of the Federation of Karnataka Chambers of Commerce and Industry, told Asianet Newsable: "We expect a very friendly budget from Union Finance Minister Nirmala Sitharaman. The friendly budget will help MSMEs, the backbone of our economy. This will also result in a boost to the agricultural sector and a cascading impact on the APMC."

Also Read: Budget 2022 Wishlist: Exporters seek tax incentives, higher budget for Agri exports and more

Highlighting the trauma that each sector has had to face since the onset of the Coronavirus pandemic, Lahoti observed that successive waves of the virus led to interest burdens, delayed payments, a downward trend in sales and production. "Despite the challenges, we have contributed to both GST and income tax. So we traders do not expect the Finance Minister to burden us with more taxes," he said.

Assurances have been pouring in from the Union government for the last two years, and with that, the hopes of each sector have also increased. Now in the Union Budget 2022, the AMPCs expect some key announcements.

These include making available, easy loans to small and micro-enterprises based on the audited balance sheet and excluding the collateral. "My annual turnover was about Rs 30 crore, and now it has crashed to Rs 12 crore like me. All AMPCs and MSMEs are suffering; these sections expect the government to reduce 5 per cent on taxes from the existing slab to all up to Rs 40 lakh," he added.

With the Union government taking back the contentious farm laws, including the law that applied to APMCs, Lahoti expects the Centre to direct all states to follow the same as some are reluctant to change it.

After witnessing a downward business trend in the last two years, the APMCs also pitch for a 'No Lockdown' commitment from the government. Instead, they expect some stricter SOPs to be issued. Another lockdown will result in many sectors and medium and small industries shutting down and increasing employment. As per Lahoti, if there is another lockdown, it will have a severe and immediate impact on small and medium enterprises, hospitality, and small traders and vendors.

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Last Updated Jan 30, 2022, 1:17 PM IST