As the countdown for the Union Budget 2022 has started, the wishlist from the industries has started pouring in for the government. The Budget 2022-23 is likely to be presented on February 1.

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Recently Union Finance Minister Nirmala Sitharaman held meetings with stakeholders of industries, financial sectors players, labour unions, agriculturists and leading economists in which suggestions were made about rationalisation of income tax slabs, infrastructure status for digital services and incentives to hydrogen storage.

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The industrial automation industry is also having its own bucket list. Speaking on the expectations from Budget 2022 on the industrial automation sector, Nagraj GP, Head - Industrial Solutions at Utthunga said:

"India's Make-in-India push has been launched at the right time, although the objectives and targets seem to be a tall ordeal. But a closer look reveals that it is not only realistic, but also extremely desirable. In fact, it is a necessity in the economic and geo-political dynamics of the post-COVID era."

He further added that the government policy is headed in the right direction, with respect to boosting technology adoption in the manufacturing sector to achieve the Make-In-India goals. He cited an example, of Samarth Udyog Bharat 4.0 (Smart Advanced Manufacturing and Rapid Transformation Hubs) under the Department of Heavy Industries (Ministry of Heavy Industries & Public Enterprises), which aims to take technological solutions to Indian manufacturing units by 2025 through steps like awareness programmes, training, demo centers, etc.

"Additionally, the cooperation of industry, academia and international in the field of Industry 4.0 technology is also promising. India’s National Manufacturing Policy (NMP) aims at enhancing the share of manufacturing in GDP to 25% and Industry 4.0 is the only way ahead to achieve this task. Therefore, the upcoming budget allocation must also direct adequate funds and schemes towards the same," he added.

The manufacturing industry in key industries always has a tight rope walk, balancing the operating cost and the profitability. Any new strategic investment gets buried in proving the ROI without having complete insights on the short-term and long-term gains from strategic investments like industry 4.0 solutions. Thus, to get over this dilemma the government must incentivize and encourage investments in manufacturing and drive local innovation among technology providers, the industry expects.

"Tax sops for manufacturers on meeting set goals for productivity, green index, safety and percentage of Made in India mix etc. would also exponentially increase technology adoption. Innovation programs similar to IMPRINT, UAY etc. for industry-academia collaboration for innovation would help in the creation of local design hubs and intellectual property rights," Nagraj added.

This would ensure that the country has a strategic approach in this transformation and catches up with technologies and solutions from matured regions. All these for sure would help create design hubs that match global standards, manufacturing houses and great talent. With all these in one place, investments will flow from all geographies to boost the economy, he concluded.