The economic slowdown, which has taken a grip over most of the countries across the world, is not showing any signs of tapering off, according to a CII-Ascon survey.
The survey, which has found that the number of sectors showing low as well as negative growth have increased, throws up a gloomy picture.
According to the report, the proportion of sectors reporting negative growth (below zero per cent) during the January-March quarter of 2013 has gone up marginally to 18.3 per cent from 17.9 per cent in the same quarter last year. Further, the sectors reporting low growth (between zero and 10 per cent) has increased to 65.2 per cent during the current quarter, up from 52.2 per cent last year.
In line with the poor growth story being seen by a number of sectors, the proportion of the sectors posting excellent (more than 20 per cent) and good (between 10 and 20 per cent) growth has taken a significant dip. The share of sectors showing excellent growth has come down to 2.7 per cent during this quarter from 6.1 per cent last year, while the sectors showing good growth has taken a dip to 14.3 per cent in the current quarter from 23.5 per cent in the year-ago quarter.
Chandrajit Banerjee, Director-General, CII, said, “The continued slowdown in industrial performance during the past several quarters is becoming a cause for great concern and calls for steps to stimulate the economy. The biggest policy changing opportunity is the Union Budget and fortunately, the Government is fully seized of the criticality of the situation. We are hopeful that the Budget would provide the necessary policy impetus to growth.”