Industry recovers, grows 8% in 99-00: CSO Our New Delhi Bureau 12 MAY THE CSO is endorsing what the industry associations have been saying for a while. The industrial recovery is now well under way. According to the quick estimates of Index of Industrial Production released by the Central Statistical Orga-nisation here today, ’99-00 ended on a eight per cent growth as compared to four per cent in the previous year. This has surpassed even the government's expectation, which had projected a 6.2 per cent growth in the Economic Survey. The recovery was powered by growth in the manufacturing sector, which grew at an impressive nine per cent during April-March ’99-00, compared to only 4.3 per cent same period last year. Other sectors which attributed to higher industrial growth during last financial year were electricity sector which grew at 6.6 per cent compared to 6.5 per cent in ’98-99 and mining sector registering a growth rate of 0.6 per cent as against a negative 1.7 per cent. For March ’00, the industrial production registered a growth rate of 8.6 per cent compared to 4.4 per cent in March ’99, the estimates said. The IPP had notched a double digit growth in the previous month, giving the impression that the year may actually end with a 8.5 per cent growth. However, March has again shown a single digit growth, resulting in a lower average for the full year. The turnaround primary has taken place in the second half of the year. This is often the case with a pick-up taking place in the third and fourth quarter on account of improvements in sentiment after a good rabi crop. Finance Minister Yashwant Sinha had hoped this would happen last year, which is why he set the September deadline for the emergence of the “feel good” factor. The turnaround has occurred now, even if it still comparable to the peak 12.8 per cent industrial growth seen in ’95-96. The manufacturing sector, which accounts for nearly four-fifths of the total weight of IIP, grew by a whopping 9.6 per cent in March ’00, as against 5.4 per cent last year. According to the user-based category, the recovery was led by consumer durables and intermediate goods. Consumer durables posted a growth rate of 12.2 per cent during the last financial year as against 4.7 per cent in ’98-99. The sector grew at 6.7 per cent in March. For reprint rights: Times Syndication Service Disclaimer