Budget 2012: Focus on MSMEs welcome, says ACMA

NEW DELHI: The Automotive Component Manufacturers Association of India (ACMA) on Friday welcomed the Union Budget 2012-13 and its focus on the manufacturing and MSME sectors.

“ACMA welcomes the focus on manufacturing, especially the Micro, Small and Medium enterprises (MSMEs). MSMEs constitute over 70% of ACMA’s membership and access to capital has been one of the major constraints for the sector. We hope that setting up of the Rs. 5,000 crore ‘ India Opportunity Venture Fund’ will enable the sector access the much-needed capital," it said in a statement.

It also said that it was happy about the weighted deduction of 200% on expenditure on R&D being extended for another 5 years, which will motivate the industry to focus on innovations and new product development.

"Shortage of skilled manpower has been an issue of significant concern to the industry; the introduction of weighted deduction of 150% on expenditure on skill development of employees will help in mitigating the concern,” it said.


Budget at ET: Budget 2012 | Union Budget | Railway Budget 2012 | Budget News | Economic Survey | Live Union Budget Blog