Union Budget 2023: Tame inflation, boost rural growth; what consumer goods majors want from FM Nirmala Sitharaman
With the Union Budget at the corner, the country’s consumer goods makers have put forward a host of demands from the Finance Minister that they hope would lift the economy and boost demand. As demand for consumer goods slows down, especially in the rural economy, coupled with the steep inflationary cycle that continues to impact their costs, leading companies like Hindustan Unilever and Godrej to TTK Prestige are urging Nirmala Sitharaman for quick measures to improve domestic demand.
According to Nadir Godrej, Chairman and Managing Director of Godrej Industries, boosting GDP growth should be the priority of the upcoming union budget. “Global inflation, China’s economic slowdown, the pandemic’s aftereffects, and the conflict between Ukraine and Russia pose a great challenge for the Indian economy. Although there is wage-push inflation in core inflation, as this is only 25 per cent of the basket and since commodities make up most of our inflation basket, and their prices are dropping globally, headline inflation is expected to be around 5 per cent. The global slump poses difficulties for overall growth. Exports have fallen. Therefore, growth must be prioritised,” he said.