Maharashtra’s manufacturing sector has hit a new low. The latest State Economic Survey for fiscal 2012-13 reveals that the sector grew a mere 1.9 per cent.

The survey was tabled in the State Legislature on Tuesday.

Hike in prices, primary commodity articles as well as in manufacturing products, impacted cost of inputs, hampering industrial production. This coupled with wage inflation, affected the growth of the manufacturing sector, the survey said.

The services sector (trade, hotels and restaurants, transport, storage and communication) grew by a moderate 5.2 per cent.

The survey pointed out that the rain-fed agriculture sector was affected again this year due to less than the normal rainfall. Overall, foodgrains production is expected to decline by 18 per cent over the previous year. Sugarcane (harvested) production likely to decrease by 33 per cent. On the other hand, the survey added that oilseeds production and cotton production is likely to increase by 15 per cent and 2 per cent, respectively.

Due to low intensity and deficit monsoon in some parts of Western Maharashtra, Aurangabad and Nashik Division, the sowing of major Kharif crops was delayed.

Low moisture conditions and erratic rainfall in September and October has resulted in reduction of area under Rabi crops. Thus, the overall production of food grains is expected to reduce to 104.39 lakh tonnes as against 127.30 lakh tonnes during the previous year.

rahul.wadke@thehindu.co.in

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