Giving mixed signals for upturn in the manufacturing growth, a Ficci survey today said the sector is expected to get a boost during the fourth quarter of the fiscal from steps taken by the government in the last few months, including those announced in the Budget.
It said that the number of respondents reporting higher levels of production in the fourth quarter of 2012-13 has dropped to 36%, from over 40% in previous few quarters.
"Some upturn is evident in sectors like leather, textiles, food products and cement. But some major sectors like automotive and capital goods are expected to witness sluggish growth in the current quarter."
Out of 327 units which participated in the study, over 39% respondents reported higher order books for January- March 2012-13 as compared to 33% in Q3 of 2012-13.
Majority of the respondents said that they do not have any plan for capacity addition in next six months, the survey said, adding that 30% reported that they are carrying more than their average levels of inventories in sectors like automotive, capital goods and textiles machinery.