INSUBCONTINENT EXCLUSIVE:
country's manufacturing sector in the April-June quarter of the current fiscal year has moderated as only 41 per cent of respondents in a
FICCI survey expected higher output growth during the ongoing quarter compared to 54 per cent in the January-March quarter, as per the
industry chamber report released on Sunday.The report said that the percentage of respondents expecting low or static production is 59 per
during the quarter under review are expecting higher number of orders against 44 per cent in January-March 2019.In terms of capacity
utilisation, the FICCI survey noted that the overall capacity utilisation in manufacturing has witnessed a slight fall to 78 per cent during
compared to the year-ago period.The latest quarterly survey assessed the sentiments of manufacturers for April-June, 2019-2020, for twelve
Responses have been drawn from over 300 manufacturing units among large, small and medium enterprises with a combined annual turnover of
over Rs 3.5 lakh crore, FICCI said."Thirty seven per cent respondents reported plans for capacity additions for the next six months as
compared to 40 per cent in Q4 of 2018-19," said the survey."High raw material prices, high cost of finance, uncertainty of demand, shortage
of skilled labour, high imports, requirement of technological upgradation, low domestic and global demand, excess capacities, delay in
disbursements of state and central subsidies and competing countries such as Bangladesh and Vietnam enjoying lower wage cost and export
benefits resulting in erosion of competitiveness of Indian exporters are some of the major constraints which are affecting expansion plans
of the respondents," it said.Sector-wise, the survey showed that people in the manufacturing sector, expect the electronics and electricals
segment to register strong growth during the ongoing quarter, whereas most other sectors are likely to have either moderate or low
growth.Textiles, chemicals, fertilizers and pharmaceuticals, capital goods, paper products, cement and ceramics are expected to register
moderate growth while automotive, metal and metal products, medical devices and leather and footwear are likely to witness low growth, the
