Cabinet approves capital goods policy

The Union Cabinet has approved the national capital goods policy on 23 march 2016.
•    The government believes implementation of the capital goods policy is critical and needed to give a boost to the sector and the 'Make in India' initiative. 
•    The government had unveiled the National Capital Goods Policy in February. 
•    This is the first time such a policy has been framed for the sector. 
•    The Cabinet has also green flagged the doubling of two rail lines in Bihar and Jharkhand and approved incentives for rural housing. 
•    MS Unnikrishnan, Managing Director of Thermax welcomed the capital goods policy, saying it would improve trade and exports and also pave the way for advances in technology. 
•    The policy will make sure the country utilizes the capital goods that already exist and cut down on import. 
•    The capacity utilization for the industry as a whole would be between 45 percent and 70 percent, adding, Thermax operated at a capacity level of 50 percent-60 percent. 
•    Indian companies will find themselves exporting capital goods into countries where there is a trade deficit. 
•    Long-term loans will be made available to these companies through the likes of EXIM bank.