MUMBAI, May 27 (UPI) -- India's manufacturing sector is recovering from the global recession, underlined by an 11.3 percent rise in the country's electrical equipment industry.
The electrical equipment industrial sector, which manufactures cables, transformers and other large electrical products, revived in the second half of 2009-10, after fiscal liquidity improved, allowing companies to resume expansion, The Economic Times reported Thursday.
The Indian Electrical and Electronics Manufacturers Association reported that production increased about 20 percent in the second quarter of 2009, compared with 1.7 percent in the first.
IEEMA Director General Sunil More told journalists, "This demand growth could likely see a two-fold increase in the next 2-3 years," noting that the increase was fueled by increased demand in the country's housing and construction sectors.
ARC Head of Research SR Venkatapathy observed: "Since spending on automation and electrical products in any project are equal, it was expected that growth in automation would also give a boost to the electricals sector. Also as prices of electrical equipment are typically stable unlike that of the automation sector, higher electrical product sales implies that projects have been revived."
