An analysis of 2,700 listed private sector non-financial companies conducted by India’s central bank, the Reserve Bank of India, indicated that the textile and iron and steel segments maintained their pace of sales growth in the second quarter of 2018-19 as compared to the year-ago period.
“The manufacturing sector sales growth was mainly supported by robust demand conditions in chemical and chemical products, iron and steel, and petroleum products industries, coupled with significant improvement recorded by the textile industry,” the central bank said. The bank added that the information technology sector also recorded further improvement in sales growth over the year-ago period.
On the expenditure front, manufacturing companies continued to face rising input cost such as that of raw materials, cost of manpower. In the IT sector, staff costs accelerated in tandem with the improvement in sales growth.
