Winners & Losers Of Union Budget 2018

Winners & Losers Of Union Budget 2018

New Delhi: Arun Jaitley, Finance Minister, has rolled out a budget designed to help distressed farmers and rural areas while boosting growth, jobs and private investment. India's farmers and villagers, as well as companies with exposure to agriculture, emerge as the biggest winners in this budget. Biggest losers might be the Bond investors.

Winners 

Health Care Providers

National Health Protection Scheme, the government's new flagship, which aims to insure as much as 500 million people for up to 500,000 rupees a year of care, could benefit companies such as Apollo Hospitals Enterprise Ltd., India's largest hospital company, as well as Fortis Healthcare Ltd.

Jewelers

The budget's focus on boosting rural and farm incomes could benefit companies such as Titan Co Ltd., Tribhovandas Bhimji Zaveri Ltd., PC Jeweller Ltd, With 60 percent of gold demand coming from rural India.

Consumer Companies

Fast-moving consumer goods companies such as Hindustan Unilever Ltd., Britannia Industries Ltd. and Marico Ltd. could benefit as day laborers get jobs and disposable income. Hero MotoCorp Ltd., Mahindra & Mahindra Ltd., Larsen & Toubro Ltd are other included companies with rural exposure. 

Farmers

While investing heavily in agricultural markets across India, this budget promises to raise the minimum price offered to farmers for crops. Agriculture-focused companies such as Shakti Pumps India Ltd., Jain Irrigation Systems Ltd., KSB Pumps Ltd., Kirloskar Brothers Ltd., Avanti Feeds Ltd., Waterbase Ltd., JK Agri Genetics Ltd., PI Industries Ltd. could benefit. Including irrigation projects and aquaculture projects, and directs state governments to purchase extra solar power generated by farmers using solar-powered pumps, it also delivers more money for rural areas.

Transport Companies

Roads and railways, construction and engineering firms, as well as train wagon-producers, could benefit. It includes companies i.e., Larsen & Toubro Ltd., Hindustan Construction Co Ltd., NCC Ltd., IRB Infrastructure Developers Ltd., Dilip Buildcon Ltd., Titagarh Wagons Ltd., and Cimmco Ltd.

Airports

Government pledging to expand regional airport construction, firms such as GMR Infrastructure Ltd. and GVK Power & Infrastructure Ltd. could benefit.

Losers

Bond Investors

Bond investors drew some relief from a lower than expected borrowing program. Shares of HDFC Bank Ltd., ICICI Bank Ltd., Axis Bank Ltd., State Bank of India, Bank of Baroda and Punjab National Bank might be affected.

Financial Sector

Financial services companies, life insurers and providers of mutual fund products including IDFC Ltd., Reliance Capital Ltd., Aditya Birla Capital Ltd., ICICI Prudential Life Insurance Co Ltd., HDFC Standard Life Insurance Co Ltd., General Insurance Corp of India, the government's decision to impose long-term capital gains tax on equity investments may dent investor sentiment for them. 

Apple, Samsung

Jaitley's budget lifts customs duty on mobile phones to 20 percent from 15 percent, in order to boost domestic manufacturing. That might lower returns for Apple Inc. and Samsung Electronics.

Defense Sector

Finance Minister Arun Jaitley praised the armed forces and promised an industry-friendly policy to promote defense production as he addressed parliament. praised the armed forces and promised an industry-friendly policy to promote defense production as he addressed parliament. There was no indication of a huge boost to defence spending.

Consumers

The government has increased an existing health and education levy to 4 percent from 3 percent, To help pay for its ambitious health plans, which are meant to benefit millions of poor Indians. This will make everything more expensive.

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