Reaction on Union Budget - Rhenus Logistics India

Mr. Vivek Arya, MD, Rhenus Logistics India P. Limited

Finance minister's much awaited decision to levy GST, from April 2016, will boost the logistics sector. Progress in DMIC and other infra-projects will create more investment in the country leading to more job opportunities and economic growth. Government has earmarked Rs.1,200 crore for DMIC, if undertaken in a systematic and timely manner, would definitely give a boost to the Logistics sector in particular and economy in general.

Additionally, the government run ports are encouraged to corporatise which will help in development of these struggling ports and also to manage the rise in cargo demands efficiently. Further, FMs announcement to rationalise Capital gain regime for REITs/ INVITs will bring more investment in real-estate and infrastructure development in the country. We welcome the proposal to raise investment in infrastructure by Rs.700 billion in 2015-16 which will further boost the growth opportunities for the logistics industry.

Source : Equity Bulls

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