Union Budget Reaction - Impact on Retail Market Space

Mr. Rahul Mehta, Managing Director, Creative Lifestyle Pvt. Ltd. - 109F & Fusion Beats on the recent budget and its effect on the retail market space.

Mr. Rahul Mehta, Managing Director, Creative Lifestyle Pvt. Ltd. - 109F & Fusion Beats said, "It was a great relief to see that the FM has maintained the status quo on the Optional Route of Excise Duty on Branded Apparel. Any change on this would have led to a serious blow to an Industry already facing a slow down. It is good to see the reaffirmation of the GST coming in force from April 2016, although we still do not know the exact rates/slabs for the same.

Service Tax has been increased to 14.00% from 12.00% which will again push up the prices to a small extent. However considering that this is meant to be a Make in India Budget, what is disappointing is that there are no measures for encouraging or promoting Apparel Manufacturing or Retail. Apparel is the highest employer after Agriculture, and I would have liked to see some encouragement being provided to this sector."

Source : Equity Bulls

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