Minister allays contraction fears in industrial growth

Minister allays contraction fears in industrial growth

New Delhi: There are no fears of contraction in India’s industrial output growth as the manufacturing sector is doing well, commerce and industry minister Anand Sharma said on Tuesday.

India’s annual industrial output in November grew at its slowest pace in 18 months as many factories closed after the end of the festive season.

Sharma also said anti-government unrest in Egypt would not impact Indian exports.

Protesters in Egypt called for a push on Tuesday to eject President Hosni Mubarak from power after the government conceded little ground in talks with the opposition and sought to squeeze demonstrators out of central Cairo.

India’s exports in December rose an annual 36.4% to $22.5 billion, while imports for the month fell 11.1% on the year to $25.1 billion, government data showed.

India’s trade deficit in December narrowed to $2.6 billion, compared with $8.9 billion in November.

Asia’s third-largest economy is targeting close to 15% export growth in the current fiscal year.