New Delhi, May 10: Enhanced consumer buying inspired by various factors has led to the consumer goods manufacturing sector coming up as one among the top growth drivers, a comprehensive Confederation of Indian Industry (CII) m-ASCON survey India"s manufacturing sector found.
The survey which encompassed 105 manufacturing sectors revealed that maufacturing grew much stronger in Apr-Mar 2009-10 as against the moderate growth in Apr-Mar 2008-09.
Capital goods and Consumer durables have indeed been the main growth drivers, CII said in a statement.
The growth in demand for consumer goods has been attributed to hike in salaries of government and arrears after the implementation of sixth pay commission along with availability of loans and lower interest rates.
“While we have witnessed a remarkable revial in industrial growth in 2009-10, it is critical that this moves to a higher
growth trajectory to sustain 9% plus GDP growth. Early announcement of the comprehensive manufacturing policy aimed at
encouraging the expansion of manufacturing sector is an urgent need of the hour" said Mr Chandrajit Banerjee, Director
Out of 105 sectors studied in the period of Apr-Mar 2009-10, 30 registered excellent growth rate of more than 20 per cent, as against just 8 sectors in Apr- Mar 2008-09. The sectors which witnessed excellent growth include passenger cars, LCVs, natural gas, phosphate fertilizer, cutting tools, earth moving and construction equipments, tractors, air conditioners,color TVs, and microwave ovens.
Aluminum, cement, motor starters, capacitors, auto components, ball and roller bearing, electric motors, computer hardware and rubber footwear were among 25 sectors, which registered high growth rate. In Apr-Mar 2008-09, 15 sectors saw high growth rate.
While the number of sectors registering negative growth rate have significantly declined to 21 in April-March 2009-10 from 43 in 2008-09, the number of sectors which registered moderate growth has also come down to 29 sectors from 39 sectors.