Marginal signs of recovery for Manufacturing: CII M-ASCON Survey
The Indian manufacturing sector shows marginal signs of recovery with a few sectors moving from negative growth to moderate growth and a few other moving from moderate to positive growth. This is based on the CII's mAscon survey for the period April 2008 - March 2009 over April 2007- March 2008. The sectors that moved from negative growth group to moderate growth group between the third and fourth quarter of 2008-09 are Fertilisers, LDPE, HDPE, Pig Iron, Steel and Mopeds. The vanaspati sector moved from moderate growth group to high growth group during this period.
High growth in production was reported by 18.75% of the 80 sectors for April-Mar 2009. The percentage of sectors reporting high growth declined in the last two quarters from 40% to 26.73% to 15.63%. The year-to-year comparison reveals that manufacturing sector has significantly slowed down during 2008-09 when compared to 2007-08.
'While on a yearly basis the manufacturing sector has slowed down, there are some green shoots from a few sectors that have demonstrated a marginal pickup during the second half of 2008-09 when compared to the first half. These demonstrate a cautious optimism on signs of recovery,” said Mr Chandrajit Banerjee, Director General CII.
On the export side, 11 out of 22 sectors reported negative growth. Ball and Roller Bearing and Vehicle industries including cars and motorcycless were the sectors in the excellent growth category. Industrial valves, textile machinery and commercial vehicles have reported negative growth.
Source: CII