Advance Estimates show turnaround for Construction Sector but manufacturing takes a beating
By TIOL News Service
NEW DELHI, MAR 01, 2017: AS per CSO's Advance Estimates of the Economy, the Construction Sector is likely to grow by 3.1% in the current fiscal. Key indicators of construction sector, namely, production of cement and consumption of finished steel registered growth rates of 2.8 per cent and 3.3 percent, respectively, during April-December, 2016-17.
The growth in the GVA at basic prices for 2016-17 from ‘manufacturing’ sector is estimated to be 7.7 percent as compared to growth of 10.6 percent in 2015-16. The private corporate sector growth (which has a share of around 71.0 percent in the manufacturing sector) as estimated from available data of listed companies was 12.9 percent at current prices in April-December 2016-17. GVA from quasi corporate and unorganized segment (which has a share of around 21.5 percent in the manufacturing sector) has been estimated using IIP of manufacturing. IIP from manufacturing sector registered a growth rate of (-) 0.5 per cent during April-December 2016-17. The wholesale price index (WPI), in respect of the manufactured products registered a growth of 2.4 per cent during April-January, 2016-17 as compared to (-)1.3 percent during April-January, 2015-16
Real GDP or Gross Domestic Product (GDP) at constant (2011-12) prices in the year 2016-17 is likely to attain a level of Rs 121.65 lakh crore, as against the First Revised Estimate of GDP for the year 2015-16 of Rs 113.58 lakh crore, released on January 31, 2017. The growth in GDP during 2016-17 is estimated at 7.1 per cent as compared to the growth rate of 7.9 per cent in 2015-16.
The sectors which are likely to register growth rate of over 7.0 percent are ‘public administration, defence and other services’, 'manufacturing' and ‘trade, hotels, transport, communication and services related to broadcasting’. The growth in the ‘agriculture, forestry and fishing’, ‘mining and quarrying’, ‘electricity, gas, water supply and other utility services’, ‘construction’ and 'financial, real estate and professional services' is estimated to be 4.4 percent, 1.3 percent, 6.6 per cent, 3.1 percent and 6.5 percent respectively.
The per capita net national income during 2016-17 is estimated to be Rs 103,818 showing a rise of 10.2 percent as compared to Rs 94,178 during 2015-16 with the growth rate of 8.9 percent.