Plastics Export Promotion Council of India (PLEXCONCIL) has submitted a comprehensive set of proposals for the upcoming Union Budget 2024-25 recommending an increase in the basic customs duty (BCD) on value-added plastics imports.

Sribash Mohapatra, Executive Director of PLEXCONCIL, stated that this measure aims to bolster the domestic plastics processing industry, drive export growth, and reduce import reliance. It will support employment across the value chain and promote import substitution goals, fostering the production of high-quality ‘Made in India’ products.

To further boost the Indian plastics industry, the council recommended streamlining MSME schemes through online platforms and ensuring access to affordable raw materials.

Other proposals of PLEXCONCIL aim to stimulate sustained high growth, create employment opportunities, develop infrastructure, strengthen rural and small-town economies, enhance MSME competitiveness, and promote social and gender equality.

Key measures mooted

Key measures to boost exports and support MSMEs include providing reduced electricity rates for MSME manufacturing units, encouraging the development of dry port facilities in landlocked states, and offering affordable warehousing near ports. The council also recommended reviewing free trade agreements (FTAs) for reciprocity, and reducing value addition criteria in FTAs.

“These steps are crucial to enhancing the competitiveness of Indian exports, increasing efficiency, and reducing costs,” Hemant Minocha, Chairman of PLEXCONCIL, said, adding, “To further support MSMEs, we propose granting priority status for bank loans and offering concessional land rates for factory setup. These measures will reduce the financial burden on entrepreneurs and encourage industrial development.”

Minocha said the Union Budget 2024-25 has the potential to unlock industry’s immense growth potential, driving sustainable development and enhancing global competitiveness by implementing these measures.

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