{"id":3473,"date":"2017-03-27T00:37:43","date_gmt":"2017-03-26T19:07:43","guid":{"rendered":"http:\/\/www.tyremarket.com\/tyremantra\/?p=3473"},"modified":"2017-03-27T11:51:02","modified_gmt":"2017-03-27T06:21:02","slug":"indian-tyre-industry-union-budget-2017","status":"publish","type":"post","link":"https:\/\/www.tyremarket.com\/tyremantra\/indian-tyre-industry-union-budget-2017\/","title":{"rendered":"Indian Tyre Industry Post Union Budget 2017"},"content":{"rendered":"<p><img loading=\"lazy\" decoding=\"async\" class=\"alignnone size-full wp-image-1288\" src=\"https:\/\/www.tyremarket.com\/tyremantra\/wp-content\/uploads\/2016\/09\/car-tyres-63928_1920-Cropped-e1475052647129.jpg\" alt=\"buy online tyre\" width=\"729\" height=\"410\" vspace=\"18\" \/><\/p>\n<p>Indian tyre industry had so much expectation from this year\u2019s Union Budget (2017-2018) announcement, but the outcome has so little for them to cheer about. The major demands that were raised by the major tyre industry players were unmet such as:<\/p>\n<ul>\n<li>Changes in import duty structure for finished goods and raw materials.<\/li>\n<\/ul>\n<ul>\n<li>Rise in import duties of finished tyres and reduction in import duties of raw material for rubber tyre industry. Because the duty levied on the imported raw materials increases\u00a0<span style=\"text-decoration: underline;\"><strong><a href=\"https:\/\/www.tyremarket.com\/tyremantra\/news-2016-chinese-imports-threat-to-makeinindia-apollotyres\/\">the cost of production of tyres in India<\/a><\/strong><\/span>.<\/li>\n<\/ul>\n<ul>\n<li>Moreover, the budget failed to incorporate the long standing demands of the growers to grant rubber farming agriculture status, issuance of subsidy amount to the farmers and boosting the rubber exports.<\/li>\n<\/ul>\n<p>&nbsp;<\/p>\n<p>All these demands were raised to keep the Indian rubber and tyre industry at a levelled ground along with the imported tyre brands. Though, these demands failed to be met by the government, yet some announcements made in the union budget 2017, are set to have an indirect positive impact on automotive tyre industry. Following are the decisions made by the government and announced in the annual budget.<\/p>\n<p>&nbsp;<\/p>\n<ul>\n<li>In the union budget the government decreased the bracket of personal income tax from 10% to 5% for persons earning under INR 5, 00,000. This in turn would lead to individuals having more disposable income, thereby creating a positive impact on passenger car and two wheeler sales. This surge in demand for vehicles will create demand for tyres too.<\/li>\n<\/ul>\n<ul>\n<li>For the development and strengthening of the country\u2019s infrastructure, government has announced an allocation of INR 3,96,135 crore which will boost commercial and off road vehicles, it is expected that this will boost the tyre sales for both off the road and commercial vehicles as the growth in tyre industry is closely related to the growth in the country\u2019s economy.<\/li>\n<\/ul>\n<ul>\n<li>Tire Micro, Small &amp; Medium Enterprises (MSMEs) welcomed the steps to reduce the tax for MSMEs which will help the industry to pass through this difficult financial phase, particularly after demonetisation. As All India Rubber Industries Association said, that out of 6,000 rubber units in the country, approx. 5,500 are in the MSME space.<\/li>\n<\/ul>\n<p>However, the pinning high hopes of the tyre industry, on long pending correction of inverted duty on natural rubber, failed to be met. Tyres or rubber in this year\u2019s union budget have not been included in the list of items where duty inversion has been addressed.<\/p>\n<h2 style=\"text-align: center;\"><strong><a href=\"https:\/\/www.tyremarket.com\" target=\"_blank\">CLICK HERE TO BUY TYRES ONLINE IN INDIA<\/a><\/strong><\/h2>\n","protected":false},"excerpt":{"rendered":"<p>Indian tyre industry had so much expectation from this year\u2019s Union Budget (2017-2018) announcement, but the outcome has so little for them to cheer about&#8230;.<\/p>\n","protected":false},"author":5,"featured_media":1288,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"om_disable_all_campaigns":false,"footnotes":""},"categories":[3,6],"tags":[1292,590,1954,2070,1248,554,1763,2072],"class_list":["post-3473","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-featured","category-popular","tag-buy-tyres-online-in-india","tag-indian-automobile-industry","tag-indian-rubber-industry","tag-indian-tyre-industry","tag-tyre-industry-2017","tag-tyre-news","tag-tyre-news-2017","tag-union-budget-2017-2018"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v28.5 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\r\n<title>Indian Tyre Industry Post Union Budget 2017<\/title>\r\n<meta name=\"description\" content=\"Indian tyre industry had so much expectation from this year\u2019s Union Budget (2017-2018) announcement, but 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