Infra spending, vehicle scrappage policy will help auto industry: MG Motor

Budget 2021 had a number of key announcements for the Indian automotive sector, most of which have been appreciated by the industry. A boost to infra spendings and the announcement of vehicle scrappage policy may be two of the most significant of these.

The scrappage policy will pave the way for new vehicles. (MINT_PRINT)
The scrappage policy will pave the way for new vehicles.

Also Read : Vehicle scrappage policy helps stocks of carmakers jump more than 10%

In a webinar conducted by HT Auto, Gaurav Gupta, CCO of MG Motor India dubbed the budget as a good one. With the focus on Atmanirbhar Bharat or self-reliant India, the budget has laid out plans in the right direction to promote local manufacturing. “Investment in highways and infrastructure spending will help commercial vehicles. Overall the budget was a good one. At some point, even better than expectations," he said.

Gupta also pointed out that the sectoral spending growth under the government’s National Infrastructure Pipeline project will help the auto industry in multiple ways. For the industry’s growth, there is a requirement of a clear roadmap, which was focused on the budget 2021 announced by Finance Minister Nirmala Sitharaman on Monday, he opines.

Gupta also believes that the government’s move such as increased spending on core sectors like health, not imposing new taxes, an indication of introducing vehicle scrappage policy will encourage people to buy new vehicles, which will help the auto industry that has been suffering from lack of demand for the last few years - first due to a slowdown in the economy and then with the Covid crisis.

First Published Date: 04 Feb 2021, 08:52 AM IST
Shopping Bag Shop Now
5% OFF
Godrej aer O – Hanging Car Air Freshener | Car Accessories | Cool Aqua (7.5g)
Rs. 94 Rs. 99
70% OFF
VENO Portable High Power 2 in 1 Car Vacuum Cleaner | USB Rechargeable Wireless Handheld Car Vacuum Cleaner Traveling, Camping Reusable and Sustainable (2 in 1 Vacuum Cleaner)
Rs. 899 Rs. 2,999
SHAYONAM Dent Removal Kit - Powerful Car Dent Repair Kit - Suction Cup Dent Puller Handle Lifter and Dent Repair Puller for Car Body Dent, Glass, Tiles and Mirror (Plastic)
Rs. 349
5% OFF
Godrej aer O – Hanging Car Air Freshener | Car Accessories | Musk After Smoke (7.5g)
Rs. 94 Rs. 99

Please provide your details to get Personalized Offers on

Choose city
+91 | Choose city
Choose city
Choose city
By clicking "View Offers" you Agree to our Terms and Privacy Policy

Dear Name

Please verify your mobile number.

+91 | Choose city
Couldn't verify the OTP.
It's either expired or it's incorrect.