CII wants timely availability of credit, especially for the SMEs
The first quarter, April-June, of the current fiscal year saw the manufacturing sector keeping its growth momentum going, according to the CII ASCON survey released in Bangalore.
Confederation of Indian Industry (CII) Vice-President B. Muthuraman, releasing the report on Thursday, maintained that the sector could do even better if a more conducive environment was created.
Out of the 110 sectors surveyed, 30 registered an excellent growth rate of more than 20 per cent as against 10 sectors in the corresponding period a year ago.
As many as 31 sectors had a high growth rate of over 10 per cent up from 18 sectors a year ago.
Consequently, the share of those placed in the moderate growth bracket declined to 29 per cent from 33.6 per cent during the period under consideration.
Similarly, the percentage of sectors registering negative growth rate too came down sharply to 15.5 per cent from 41 per cent.
Recording excellent growth were sectors like air-conditioners (50 per cent), refrigerators (32 per cent), vehicle industry (33.2 per cent), passenger car (32.5 per cent), natural gas (43.5 per cent), ball and roller bearings (30 per cent), and machine tools (16 per cent).
CII Director General Chandrajit Banerjee demanded timely availability of credit and easier and cheaper credit, especially for the small and medium enterprises (SMEs) for higher manufacturing growth.