Indian commerce and industry minister Piyush Goyal stated on Friday that the country is not sitting on its hands due to upcoming elections, but rather is actively working toward its goal of becoming a mature economy with a $35 trillion market cap by the year 2047.
He went on to say that "nari shakti" and "bhrashtachar-mukt Bharat (women power and corruption-free India)" will be central to the Viksit Bharat platform in the next general election. The government of India aims to make sure that people don't have to worry about the basics like "roti, kapda aur makaan" so that the country can expand in an inclusive and sustainable way.
No one should ever again have to live in poverty, in our opinion. At a discussion with ET journalists, Goyal stated, "People should be free from the tension of daily needs" since their fundamental needs are being covered through free ration and other perks. "We envision a hopeful India, one that can envision great strides forward and strive for an elevated standard of living."
Minister for Consumer Affairs, Food and Public Distribution, and Textiles Goyal claimed that India's economic growth narrative is unique on a global scale.
According to Goyal, the goal of the Centre is to have one thousand unicorns in the startup world. Everything is running well in our startup ecosystem, which ranks third globally. More private sector involvement from American companies and investors would be welcome. He expressed his utmost worry for the startup ecosystem.
Goyal mentioned that a team of secretaries is aiming to achieve this goal and is soliciting suggestions from the public in reference to a conference that Prime Minister Narendra Modi held with his ministerial council, secretaries, and Niti Aayog to deliberate the vision of Viksit Bharat 2047. According to him, up to 1.5 million ideas have already been compiled.
The government will not implement policies for political gain but for the benefit of the entire country, according to Goyal, and Prime Minister Narendra Modi has made it clear that this is his goal.
In response to a question regarding anticipated policy initiatives leading up to the elections, he stated that such work is ongoing.
An administration that "thinks in continuity" is what he described. From April 19th to June 1st, there will be seven separate rounds of the general election.
He made it clear that the administration does not meddle with the operations of any law enforcement agency when asked about raids conducted by investigative organizations like ED.
Despite the Houthi attacks in the Red Sea and conflict in West Asia and Ukraine, the minister predicted that India's aggregate exports will rise and the trade deficit will shrink "significantly" in FY24.
"At the start of the year, I had informed my team that this should be the year of consolidation. We had two years of very rapid growth, going from $494 billion to $776 billion, a 55% increase," he stated. I had previously stated that I would be satisfied with a flat growth rate, but I am now confident that we will see growth in both products and services this year based on advance predictions. The goods, it's a tiny amount... if there is any shortage, it will be small, and the services will expand... We are eagerly awaiting the final figures.
He used the Directorate General of Foreign Trade (DGFT) as an example to illustrate his goal of eliminating public interface between agencies and stakeholders. According to him, the current strategy is for a single headquarters in Delhi, with the regional branches rebranding as trade promotion offices.
The minister boasted that the Government e-Marketplace (GeM), India's public procurement web, has increased government procurement from 1.06 lakh crore in 2021-22 to over 4 lakh crore in 2022, all because of the platform's open and honest procedures.
When asked about the difficulties entrepreneurs have with taxes, he mentioned two main issues: angel tax and offshore entities. The latter group had originally sought tax benefits abroad but is now interested in establishing a permanent home in India.
Angel investors were taking advantage of "fly-by-night" businesses that were "creating capital through inflated value" or "using hawala transactions," according to Goyal. "At that point, the tax was introduced..." Startups are indirectly affected by it.
In order to address this issue, the government has established a committee under the Department of Promotion of Industry and Internal Trade (DPIIT) to take it up.
For financial reasons, the offshore firms that are now considering relocating to India have previously gone offshore.
They took advantage of the opportunity to improve their tax planning. He explained that their desire to return was due to their desire to list in India, where they would receive a higher valuation.
He stated, "I have not been apprised of this specific issue" in reference to the startup tax problems caused by Section 68 of the Income Tax Act. We can bring this to the attention of the ministry of finance. This relates to the income tax department's practice of classifying investments as income, as reported by ET on March 29.
We have an open mind and want technology in the country," Goyal said, adding that he couldn't share information about plans to further relax foreign direct investment (FDI) regulations.
Goyal is running for the Lok Sabha seat representing Mumbai (North) and is already a member of the Rajya Sabha. He recounted his formative years in the Sion neighbourhood of Mumbai, near Dharavi and Antop Hill, and shared his dreams for the city that gave him life. Among his goals for Mumbai are the rehabilitation of slums, the alleviation of traffic problems, and the management of pollution. Specifically, he mentioned the possibility of potential on the undeveloped salt pan property surrounding the city.
I would be overjoyed if the salt pan land could be put to use rehabilitating slums or building up Mumbai's shoreline for tourism. It was the kind of effort he wished to see more of, he added.
If this works, he added, it might be a national answer.
Any and all suggestions or ideas from wherever in the nation are welcome here. Goyal stated, "We would be delighted if any land that is not being used to produce salt could be put to some public use as soon as possible." He went on to say that there is 60,000 acres of such land available across the nation.
Comments