Post Budget Reaction comment from Insecticides India Ltd.

Mr. Rajesh Aggarwal, Managing Director, Insecticides India Ltd said ,”The Finance Minister has rightfully recognized the stress on agriculture incomes and put emphasis on investing in rural infrastructure. The allocation of Rs. 5,300 crore towards micro-irrigation, watershed development initiatives is a particularly welcome measure.

We all know that a bulk of our population is dependent on the farm sector and the farm sector in turn is heavily dependent on the monsoon. A rainfall deficit always affects the farm sector and the agro chemical industry. This dependence on monsoon should reduce and we need a thrust on building micro-irrigation facilities which is there in the budget.


Another positive scheme that the government has announced is the soil health card scheme that aims to improve soil fertility. We are optimistic about this scheme and believe it will be highly beneficial to farmers. Besides, we also appreciate the budget’s thrust on manufacturing in line with ‘Make in India’.

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Is advertising helping business and economy?

The core objective of advertising is the sale or earns major profit for company. When it comes to the interest of the economy, the advertising has indirect impact on the economy. Obviously, it has been helping the economy in form of multiple taxes, the company pay, customers pay, and traders pay as excise tax.

In a capitalist economy, the scope of advertising would be vast, where are in a mixed economy it could be less than that. But the word ‘globalization’ has somehow changed the meaning of the classifications of the economies.

Many countries in the world have free trade and protection – foreign trade policy, keeping the interest of their companies and industries. However, in the peak age of globalization, no economy could survive without entering into foreign trade tie-ups.

Coming back to the industries and companies, the advertising cost is the input for a cause that educates consumers and sales brand. In India, the television advertising is pegged at Rs.13,000 crore and its it’s huge amount if the whole GDP is taken into consideration.

A government welfare scheme is incurred around as much as amount to reach the people or bring them under the cover the policy. Companies do spend more and more on adversiting to reach vast customers, the input later could be turned into sales.

No doubt that a economy is being boosted by the companies and their advertisement. The arena of advertising is also helping in job creation, which is one the path of the sustainable development for economy.

The correlation of advertising industry is with many multiple industries like – entertainment industry, television industry, media and moreover it could a umbrella shape of service that provides to all and cover all.

Advertising agencies have been delivering the best services to their clients through their creativity, which the customers do like always. Just imagine, a television show without ads would be just boring and new advertisements do add glamour into the programme.

In order to make the companies more successful, consumers need to give their support to the advertisements, which would ultimately help the business and economy.

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Rail Budget: Railways May Announce ‘Smart Surcharges’

The railways have no other way but to resort to levying ‘smart surcharge’ on the tickets, to cover up the loss of Rs. 3,300 crore because of the recent hike in the diesel prices. Railways used to pay Rs. 12,500 crore annually for diesel bills; this was before the hike in the diesel prices. Now, they will have to pay an additional Rs. 3,300 crores.

The rail ministry last month announced a hike for all classes, with an intention to recover Rs. 6,500 crores. But within some days, diesel prices were increased and this slashed nearly half of the additional revenue generated.

The hike may be in the form of a surcharge on Tatkal tickets, additional reservation charge, or on use of ‘clean toilets’ or clean stations surcharge, or additional reservation charge or hike may be even in the form of, nominal charges added to catering in all trains.

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Indian Economy's GDP Pegged at 5%

The government of India has estimated the Gross Domestic Product (GDP) rate at 5 per cent for the fiscal year 2012-13, which is much lower from the projection of 5.5 per cent.

According to the Advanced Estimates released today by the Central Statistical Organisation (CSO), the economy would like to have 5 per cent GDP growth rate during 2012-13.

In 2011-12, the GDP was at 6.2 per cent. The slide in the growth rate of Indian economy has been indicated that it is reeling under the clutches of global slowdown.

The poor performance of many sectors of Indian economy hold the growth rate to much lowest level of 5 per cent.

On Thursday, after estimation of the GDP of Indian economy, the Sensex went down by 56.78 points at 19,582.94 points. The Nifty was also seen in red in post lunch session, it was at 5,937.95 points shedding 21.25 points or 0.36% loss.

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