New Delhi: The Ascon survey carried out by Ascon and CII for April 2006 - March 2007 over April 2005 –March 2006 indicates that the Indian manufacturing sector has maintained the growth momentum built up over the last 12 months.
Out of a total of 98 sectors reporting production, 21 recorded an excellent growth rate of more than 20% with 36 sectors recording high growth rate of 10-20%, 30 registering moderate growth rate of 0-10% and 11 reporting negative growth. The percentage of sectors in each category remained almost constant for the nine-month period (April to Dec ‘06) and for April 05 to Mar ‘06.
While releasing the CII Ascon Survey for the period April 06 to Mar 07, Mr Satish Kaura, Chairman, CII Industry Council, said “we have results of the entire financial year before us. It is heartening that over 20% of the manufacturing sector has remained in the Excellent growth category for two consecutive years and a large number of sectors have moved to High growth from moderate growth category.”
A comparison with the results released last quarter, shows some correction in the growth rate with percentage of sectors in the Excellent Growth category remaining constant and a movement of some sectors from High Growth to Moderate Growth rate, added Dr Sarita Nagpal Head Manufacturing Services, CII.
According to the CII-Ascon survey, sponge iron, switchgears, power cables, circuit breakers, electrical cable and wires, auto components, castings, argon, nitrogen, machine tools, textile machinery, welding equipment, medium and heavy commercial vehicles, LCVs, scooters, all three wheelers, electric fans, microwave ovens, were in the excellent growth category. Cement, diesel, LLDPE, LPG, paints, plastics, ball and roller bearings, earth moving and construction equipment and monobloc pumps were all in the high growth category.
Out of 36 sectors reporting sales, nine registered excellent growth, 15 registered high growth and 12 reported moderate growth while none had low or negative growth.
The survey reveals that forgings, machine tools, textile machinery, tractors, electric fans, LCVs, medium and heavy commercial vehicles and microwave ovens were some of the sectors in the excellent sales growth category. Those in the high growth category include cement, ball and roller bearing, ceramics, industrial valves, earthmoving and construction equipment, water equipment etc.
There was a dip in exports as compared to results in the last quarter. The latest survey indicates that nine showed excellent growth,eight were in the high growth category, six recorded moderate growth and six registered a fall in exports.
Auto components, sponge iron, forgings, machine tools, all three wheelers, medium and heavy commercial vehicles and motor cycles are sectors that have done well on the export front, registering excellent growth. Those in the high growth category include ball and roller bearings, cement, ceramics, industrial valves, refractory and earth moving and construction equipment.