EPC companies are undertaking many new assignments across the country for setting up of many industrial units to boost up the overall infrastructure sector. Likewise in Pune we could see many players in the EPC segment are keen to showcase their engineering repertoire. Vasocn Engineers is one of such EPC companies in Pune which has achieved many constructional milestones during the last 25 years. Fiscal costs are significant component of EPC contracts which are typically formed for executing infrastructure projects of this size and magnitude. Fiscal costs are an important consideration that is evaluated in determining the overall project economics. These fiscal costs are typically quantified based on current and existing provisions of law. However, these provisions are ever evolving.
With an aim to facilitate the EPC contractors and also the Project Owners in their endeavour to update and gain a deeper and concise knowledge of the current and evolving tax and legal issues surrounding it, Vasco Engineers, a major EPC company in Pune is taking many initiatives It is now quite imperative for EPC companies in Pune to organise Seminars to provide detailed inputs on one of the key drivers of EPC contracts viz taxes and contracts. Presentations to be made by the speakers would aim at analyzing the finer details on tax savings, tax risks & mitigants, contracting issues, legal imperatives during bid submissions and also practical aspects during tax assessments.
EPC companies in overall economic scenario
India has embarked on an ambitious growth trajectory and has maintained a consistent growth story during the first decade of the century. With the expansion of 7.8% in GDP in first quarter of 2011, India is on the projection of taking its GDP to 8.8% by 2015. Due to its robust economy it has easily withstood the global economic meltdown. Increased economic activity was witnessed across every sector, with growth led by manufacturing and services sector. This ongoing momentum in economic growth is likely to remain robust for the remaining part of the year.
Of late the Government of India is noticeably focused on infrastructure development. The current rate of infrastructure investment in India is 3.5 percent of GDP, which is well below the target rate of 8 percent proposed by the EGCIP. India has all geared up to revamp the most neglected sectors i.e., infrastructure which has received tremendous attention recently.
Going forward over the next six to seven years, the GoI has mapped out ambitious investment outlays to the tune of USD 350 billion. Significant infrastructure development is expected to be undertaken through public-private-partnerships. Key areas of infrastructure development include road, rail, ports, power, telecommunications, pipelines and several other related sectors. The initiatives to augment infrastructure development across the country are at the macro as well as micro level. These will further necessitate the participation of numbers of EPC companies in India to write a new growth story in engineering and construction segment.