Economic survey lauds the growth in the industrial sector

New Delhi, Feb 28 : The Economic Survey 2007-08 says that the 9.2 per cent growth achieved during April to November 2007 by the industrial sector, when seen against the backdrop of the robust growth during the preceding four years suggests that the buoyancy in this sector has continued, though with a degree of moderation.

The first eight months of the current fiscal witnessed a moderate slowdown in the growth of the industrial sector, which has mainly been on account of the manufacturing sector.

The mining and quarrying sector grew at a faster pace, while the growth in electricity remained unchanged from April-November 2006.

The Survey highlights the two important changes that have occurred in the growth pattern of the use-based industrial categories during April-November 2007 compared to the corresponding period of 2006.

Capital goods have grown at an accelerated pace over a high base attained in the previous years which augurs well for the required industrial capacity addition. The consumer durable basket that forms part of the index of industrial production showed negative growth during the period.

The Survey has pointed out that while one segment of automobiles - commercial vehicles, jeeps and passenger cars - catalysed-manufacturing growth, the slump in the production of motor cycles dampened it.

Items like insulated cables and wires, telecom cables, wood products, sugar computer systems nd their peripherals, and scientific equipment drove growth with their outstanding production performance.

Major dampeners of manufacturing growth were telephone instruments, cine film, X-rays, photo-roll films other than motor cycles and scooters.

ANI