Improvement seen in Export Outlook in FICCI Q1 Survey
FICCI's Quarterly survey on Manufacturing re-iterates a positive outlook for exports with 44% of the participants expecting a rise in exports for Q-1 2018-19.
The sentiments for the manufacturing sector in Q-1 (April-June 2018-19) remains positive, though the proportion of respondents reporting higher output growth during the April - June 2018 quarter has decreased to 49% from 55% in January-March 2018, maintaining the general trend witnessed in the previous years.
However, going ahead, high growth is expected in Automotive, Capital Goods, Metals and Metal Products and Electronics & Electricals. Moderate growth is expected in Textiles, FMCG, Cement and Ceramics, Chemicals & Pharmaceuticals, Leather & Footwear and Textiles Machinery in Q-1 2018-19 whereas low growth is expected in Paper Products.
The average capacity utilization for the manufacturing sector at about 77% in Q-1 2018-19 is same as that of previous quarter. In sectors like capital goods, textiles, textiles machinery and chemicals & pharmaceuticals, average capacity utilization has either increased or remained almost same in Q-4 of 2017-18 & Q-1 2018-19, while in automotive, cement and ceramics, electronics & electricals, leather and footwear, metal and metal products, the capacity utilisation has fallen in Q-4 2017-18 & Q-1 2018-19 vis-a-vis Q-3 2017-18.
FICCI's Quarterly survey assessed the sentiments of manufacturers for Q-1 (April-June 2018-19) for eleven major sectors namely automotive, capital goods, cement and ceramics, chemicals and pharmaceuticals, electronics & electricals, FMCG, leather and footwear, metal & metal products, paper products, textiles machinery and textiles. Responses have been drawn from over 300 manufacturing units from both large and SME segments with a combined annual turnover of over 3 lakh crore.