India Steel Market Watch
December 28: The prospect of revival for India’s manufacturing sector seems to be weakening in the third quarter ended December 2015, thanks to the sluggish growth in exports, according to a survey conducted by industry chamber FICCI.
“The percentage of respondents expecting higher growth in the December quarter has gone down to 55% as compared to 63% for the previous three months,” Ficci said in the survey report published on December 28.
“Exports are primarily responsible for this less optimistic outlook besides domestic factors like poor demand conditions, high interest costs etc.,” it added.
Earlier, the industry chamber in a similar survey had indicated a revival in the manufacturing activity in the second quarter of the ongoing fiscal (2015-16).
The latest quarterly survey gauges the expectations of manufacturers for the third quarter for twelve major sectors namely textiles, capital goods, metals, chemicals, cement and ceramics, electronics, auto, leather and footwear, machine tools, food, tyre and textiles machinery.
Responses have been drawn from 336 manufacturing units from both large and SME segments with a combined annual turnover of over Rs 3.94 lakh crore.