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Budget 2022

Budget 2022: The Micro, Small & Medium Enterprises (MSME) sector is optimistic about subsidies

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“The Union Budget 2022 is likely to see a greater push for implementation of National Education Policy 2020 (NEP 2020) in a strategic manner on pan-India scale aimed at bringing about ‘transformational reforms’ in school and higher education systems in India by pushing for “amalgamation of vocational & academic skills along with universalization of education” through enhancing the Gross Enrolment Ratio (GER) by ensuring sufficient fund flow”, said Monica Bahl, CEO of Beauty & Wellness Sector Skill Council, asserting that she is optimistic about Budget 2022, which will provide a boost to the skilling sector and open greater avenues for growth in a sustainable manner. In addition to speaking from her heart on the matters that are crucial for the growth of the beauty and wellness skills sector, she also dwelled on the challenges faced by the industry over the past few years, as well as her vision for 2022. Here are some excerpts from the interview.

 

Q. Challenging aspect of the covid era for your sector? 
Beauty is one of the consumer-facing sector’s most exciting industries. With the industry poised on the cusp of boom, Covid-19 presented never-before-seen challenges to the sector: shuttering stores, halting product development and forcing the closure of some sub-sectors. According to McKinsey Consulting, the estimated global revenue for the Beauty Industry alone could fall by up to 30%.

Q. How have companies and industry dealt with the current set of problems?
At the height of the Covid-19 pandemic, major beauty brands changed their pivot of propositions by reaching consumers via online channels and adapting their product offerings to suit customers in lockdown. As a result, Covid-19 has fast-tracked a number of trends by setting lasting changes in motion. The crisis has accelerated the move away from colour cosmetics and towards skincare; brought the Wellness agenda to the fore; encouraged brands to re-package & re-evaluate their customer offering; and forced businesses to recognise a strong digital proposition as a means for survival. 

Q. What are the positive changes the industry expects from the budget for 2022? How hopeful and positive you are about the budget 2022?

The budget is much-awaited, especially this year with the Omicron variant of COVID-19 causing the third wave of pandemic in the country. Moreover, the tax rate and tax slabs are also expected to be lowered which will make things easier for individuals and businesses. There’s an optimism among Micro, Small & Medium Enterprises (MSME) that they’ll be able to receive subsidies that will help facilitate their growth. To stimulate their growth, MSMEs are looking for measures to facilitate their access to funds and credit lending. The Union Budget 2022 is likely to see a greater push for implementation of National Education Policy 2020 (NEP 2020) in a strategic manner on pan-India scale aimed at bringing about ‘transformational reforms’ in school and higher education systems in India by pushing for “amalgamation of vocational & academic skills along with universalization of education” through enhancing the Gross Enrolment Ratio (GER) by ensuring sufficient fund flow.

Budget 2022 is likely to also touch upon improving the quality of education across all levels – primary to university by improvising on schemes like SamagraShiksha, RUSA, SPARCH, IMPRINT, TEQIP, SWAYAM, etc. & through the launching of new schemes besides focusing on enhancing and building the capabilities of schools and teachers through integrated teacher training programs.


Q. A Roadmap for 2022 and a Vision for Growth?

With consumer buying habits changing fast, beauty businesses must adopt an agile approach, taking learnings from Covid-19 into the next phase.  Companies in the beauty industry have a knack for identifying problems and solving them.

Masks have replaced the need for make-up with “Inner Beauty & Wellness”. A market survey report recently concluded that women have become more concerned about their inner beauty that radiates from the inside out. Customers are eager to splurge on small luxuries to help themselves feel better both physically & mentally during these unprecedented times.

 

Over the past few years, this industry space has played host to dozens of high-value mergers and acquisitions, some industry-defining innovation and the birth of countless challenger brands redefining the beauty & wellness landscape.
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Divya Khanna is the youngest member of the team, with a background in political science. She has joined High on persona print magazine in order to gain hands-on experience in various aspects of editorial coordination as associate editor of the magazine and news site. She has a penchant for writing and enjoys meeting new people and interviewing celebrities. She has a passion for writing, she has an eye for details, loves traveling, and a quick learner. She comes from the Mecca of Indian Journalism, Delhi.
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