Latest news with #Nayar
Time of India
a day ago
- Business
- Time of India
Industrial Output Growth Slows to 10-mth Low in June
Our Bureau New Delhi: India's industrial output growth slowed to a 10-month low at 1.5% in June, pulled down by contraction in mining and electricity sectors and subdued performance by the manufacturing sector, official data showed Monday. Explore courses from Top Institutes in Please select course: Select a Course Category Digital Marketing healthcare Product Management Others MBA Data Science Design Thinking Degree Operations Management Cybersecurity Data Science Data Analytics others Project Management Leadership Finance Technology MCA PGDM CXO Artificial Intelligence Public Policy Healthcare Management Skills you'll gain: Digital Marketing Strategy Search Engine Optimization (SEO) & Content Marketing Social Media Marketing & Advertising Data Analytics & Measurement Duration: 24 Weeks Indian School of Business Professional Certificate Programme in Digital Marketing Starts on Jun 26, 2024 Get Details Skills you'll gain: Digital Marketing Strategies Customer Journey Mapping Paid Advertising Campaign Management Emerging Technologies in Digital Marketing Duration: 12 Weeks Indian School of Business Digital Marketing and Analytics Starts on May 14, 2024 Get Details The Index of Industrial Production (IIP) expanded 1.9% in May and 4.7% in June 2024. "Excess rains in the second half of June 2025 are likely to have weighed on mining output, while also leading to a contraction in electricity generation, although the extent of the same narrowed compared to the previous month," said Aditi Nayar, chief economist at ratings firm ICRA . Among the three major sectors, only manufacturing grew in June, by 3.9%. Production shrank 8.7% in mining and 2.6% in electricity. Live Events "A marginal pickup in the manufacturing sector growth was more than offset by contraction in both the mining and electricity sector output," said Rajani Sinha, chief economist at CareEdge Ratings. Average IIP growth dropped to 2% in the first quarter of the current fiscal year from 5.4% a year earlier. Nayar estimates industrial GVA (gross value added) growth to have decelerated in the first quarter ended June. Industrial GVA growth was 6.8% in the January-March quarter. Official figures for the June quarter will be released in August. Within the manufacturing sector, 15 of the 23 industry groups recorded growth in June. In terms of use-based classification, two out of the six categories recorded a contraction: primary goods (3%) and consumer non-durables (0.4%). "The contraction in primary goods output reflects the weaker performance of mining," noted Nayar. On the positive side, infrastructure/construction goods led growth with a 7.2% increase. "While private capex is yet to show meaningful traction, public capex continues to remain encouraging. However, persistent global uncertainties are weighing on the overall investment sentiment," said Sinha.
The Print
a day ago
- Business
- The Print
Industrial output growth slows to 10-month low of 1.5 pc in June
The National Statistics Office (NSO) also revised upwards the pace of industrial production growth for May to 1.9 per cent from the earlier estimate of 1.2 per cent released last month. The factory output, measured in terms of the Index of Industrial Production (IIP), had expanded by 4.9 per cent in June 2024. New Delhi, Jul 28 (PTI) India's industrial production growth slowed to a 10-month low of 1.5 per cent in June 2025 due to poor performance of mining and power sectors, which were impacted by excess rains especially in second half of the month, according to official data released on Monday. The previous low pace of growth was recorded in August 2024 when the output growth stayed flat. 'Excess rains in the second half of June 2025 are likely to have weighed on mining output, while also leading to a contraction in electricity generation, although the extent of the same narrowed compared to the previous month,' said Aditi Nayar, Chief Economist, Head – Research & Outreach, ICRA, in a statement. The NSO data showed that the manufacturing sector's output growth rose marginally to 3.9 per cent in June 2025 from 3.5 per cent in the year-ago month. Mining production contracted by 8.7 per cent against a growth of 10.3 per cent recorded a year ago. Power production declined by 2.6 per cent in June 2025 against 8.6 per cent growth in the year-ago period. During the April-June quarter of FY26, industrial production growth slowed from 5.4 per cent a year ago to 2 per cent, the lowest in past 11 quarters. Nayar stated, 'In quarterly terms, the IIP growth eased to an 11-quarter low of 2.0% in Q1 FY2026 from 4.0% in Q4 FY2025, with excess rains in parts of the quarter dampening electricity generation and mining output.' Within the manufacturing sector, 15 out of 23 industry groups have recorded a positive year-on-year growth in June 2025. As per use-based classification, the capital goods segment growth decelerated to 3.5 per cent in June 2025 from 3.6 per cent in the year-ago period. Consumer durables (or white goods production) growth slowed to 2.9 per cent during the reporting month against a growth of 8.8 per cent in June 2024. In June 2025, consumer non-durables output contracted 0.4 per cent compared to a contraction of one per cent a year ago. Infrastructure/construction reported a growth of 7.2 per cent in June 2025, down from a 8.2 per cent expansion in the year-ago period. The data also showed that the output of primary goods contracted by 3 per cent in June 2025 against 6.3 per cent growth a year earlier. The expansion in the intermediate goods segment was 5.5 per cent in the month under review against 3.2 per cent a year ago. PTI KKS HVA This report is auto-generated from PTI news service. ThePrint holds no responsibility for its content.
Mint
a day ago
- Business
- Mint
India's industrial production rises 1.5% in June, at slowest pace in 10 months
New Delhi: India's industrial production grew 1.5% annually in June, marking its slowest pace in 10 months, as mining and electricity output slipped into contraction, data released by the ministry of statistics and programme implementation (MoSPI) on Monday showed. The muted uptick stands in stark contrast to the 4.9% expansion recorded in June last year, highlighting persistent strains across core sectors of the economy. MoSPI revised May's growth figure to 1.9%, from 1.2% earlier, which still outpaces the June figure. Industrial performance through last year remained volatile, surging in May but flattening by August, underlining the lack of consistent recovery. The weak June reading reflects a fragile and uneven rebound in industrial activity, amid soft domestic demand, global economic uncertainty, and sector-specific challenges. Manufacturing, which constitutes almost 78% of the Index of Industrial Production (IIP), saw output rise 3.9% annually in June, higher than the 3.2% reported in May and 3.5% growth in June 2024. Mining output contracted by 8.7% annually in June, compared to a 0.1% contraction in May, and a 10.3% expansion in the year-ago period. Electricity generation shrank 2.6% annually in June, compared to a 4.7% contraction in May and an 8.6% expansion in the year-ago period. Among use-based classifications, the production of intermediate goods and infrastructure/construction goods showed a sequential rise. Intermediate goods output rose 5.5% annually in June, compared to a 4.7% annual growth registered the previous month. Infrastructure/ construction goods output rose 7.2% annually in June, compared to 6.7% in May. Capital goods production fell 3.5% annually in June, down from 13.3% in the previous month. Meanwhile, primary goods production contracted by 3% annually in June, compared to a 1.4% contraction in May. Production of consumer durable goods rose by 2.9% annually in June compared to a contraction of 0.9% in the previous month. During the same period, production of consumer non-durables contracted by 0.4% annually, compared with a 1% contraction reported in the previous month. The June IIP numbers came in below expectations. Rating company Icra Ltd. had projected a 2% rise in industrial output. "The deceleration was entirely led by mining, which reported a steeper contraction of 8.7% in the month as compared to the 0.1% dip seen in May 2025. Excess rains in the second half of June 2025 are likely to have weighed on mining output, while also leading to a contraction in electricity generation, although the extent of the same narrowed compared to the previous month," said Aditi Nayar, chief economist at Icra. "Encouragingly, the growth in manufacturing output improved to 3.9% in June 2025 from 3.2% in May 2025," Nayar added.
Time of India
2 days ago
- Business
- Time of India
'Golden opportunity': Assocham hails India-UK trade deal, calls it a turning point for private firms
NEW DELHI: India's landmark trade deal with the United Kingdom has laid the groundwork for a major leap in exports. A top industry leader has called it a "golden opportunity" for the private sector to drive growth in key areas like pharmaceuticals, electronics, and auto components. Sanjay Nayar, president of ASSOCHAM and founder-chairman of the Sorin Investment Fund, said the India-UK Comprehensive Economic Trade Agreement (CETA) could help double the country's exports to Britain in the next six years if implemented effectively. "India needs to grow exports beyond services into goods and trade. This agreement provides a huge opportunity," Nayar told news agency ANI in an interview. He said the deal gives the nation a 'clear path' to expand its reach in sectors such as pharmaceuticals and electronics. The ambitious goal under the pact is to push bilateral trade to $120 billion by 2030, a major jump from current levels. Stronger market access What makes this trade agreement stand out is its wide scope. It covers not only tariff reductions but also liberalisation of services, easier investment procedures, improved professional mobility, and even access to public procurement in the UK. 'This FTA opens up UK public procurement infrastructure for Indian IT companies, construction firms, and medical sector businesses,' Nayar explained. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Free P2,000 GCash eGift UnionBank Credit Card Apply Now Undo 'Indian companies can now bid for government contracts across these sectors.' One of the long-standing concerns for professionals has also been addressed. The deal resolves double taxation issues, potentially saving around $500 million that would otherwise be lost due to overlapping contributions by employers and employees. 'This benefits mobility of our professionals big time,' Nayar said, noting that the move would make it easier and more appealing for Indian talent to take up opportunities in the UK. Private sector must step up While acknowledging the strong groundwork laid by the government during negotiations, Nayar said the ball is now in the private sector's court. 'The government has done most of the heavy lifting. Now the private sector needs to focus on how to capitalise on this and convert it into real exports.' Nayar also urged companies to take full advantage of the new frameworks and market access, warning that success will depend on how well they execute their expansion strategies under the trade pact. The CETA is expected to benefit multiple sectors and create a more predictable environment for firms looking to expand in the UK. Stay informed with the latest business news, updates on bank holidays and public holidays . AI Masterclass for Students. Upskill Young Ones Today!– Join Now
Time of India
2 days ago
- Business
- Time of India
Private sector needs to step up with govt having done most of heavy lifting: ASSOCHAM Chief Sanjay Nayar
The recently signed India-UK FTA is a golden opportunity from India's perspective, Sanjay Nayar , President of ASSOCHAM and Founder-Chairman of Sorin Investment Fund , said, asserting that the private sector has to really now step up with the government having done most of the heavy lifting. "That's where now I think the private sector needs to really focus on, is how do you capitalise this and convert this into real exports," Nayar told in an interview. 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Lulutox Undo Sanjay Nayar emphasised that the reduced tariffs on 99 per cent of goods through the recent India-UK Comprehensive Economic and Trade Agreement (CETA) have created a level playing field, but success in developed markets requires fundamental strategic shifts. He noted that defence startups , med-tech and agro-tech sectors can benefit from the FTA. Live Events "Cost is not the only differentiator anymore. With tariffs coming down, we have the same advantages that countries like Bangladesh and Turkey had earlier," Nayar said. "The big challenge for Indian private sector is to shift focus to quality, innovation, and global compliance." The transition to developed market access requires significant investment in compliance, certification, and adherence to international standards, Nayar warned. "We're doing FTAs with the developed world, not the developing world. This puts the onus on private sector to invest in compliance and standards." He acknowledged this transformation would require "heavy lifting, some investment and maybe even a tough first year for companies who want to capitalise in the long run." The comments come as India negotiates comprehensive trade agreements with developed economies, requiring Indian businesses to meet stringent quality and regulatory requirements previously unnecessary for traditional export markets. Despite government initiatives, Nayar identified persistent challenges in logistics costs and production factors that continue to disadvantage Indian exporters. "Our logistic cost and production factors are still expensive and a bit scarce," he noted. While praising the government's PM GatiShakti program for addressing infrastructure bottlenecks, he suggested targeted support for micro, small and medium enterprises (MSMEs) that form the backbone of supply chains. "We have to recognize we are going to be slightly disadvantaged on the logistical side, and it'll take some time." Nayar expressed concern about private sector commitment to scaling up operations, pointing to lackluster response to previous government incentives. "When corporate tax rates were cut and there was incentive to put money back in business, we didn't see much private capex pickup," he observed. With India's domestic market offering substantial opportunities, the relatively modest private investment response raises questions about industry readiness to leverage new trade agreements effectively. The industry leader stressed that success in comprehensive trade deals requires establishing genuine market presence rather than traditional export models. "We now need to create on-ground presence in the UK as well. It's not just exporting and forgetting, but forming UK partnerships, setting up local offices, investing in joint ventures." This approach becomes essential for accessing the public procurement market that the India-UK agreement opens to Indian companies in IT, construction, and medical services sectors. Companies entering developed markets must prepare for sophisticated regulatory frameworks, Nayar cautioned. "You're dealing with developed world, so you have to be ready for compliance complexity, alignment of standards, regulatory divergence." He acknowledged the documentation burden would particularly challenge smaller companies, suggesting government portals and chamber of commerce support could help MSMEs navigate complex requirements. Despite challenges ahead, Nayar praised the government's three-year negotiation effort in securing market access while protecting domestic interests. "This has been a fantastic outcome with what the government has done, safeguarding our interests and opening up massive markets." The success of India's trade strategy will ultimately depend on private sector willingness to invest in quality upgrades, compliance systems, and international market development rather than relying solely on traditional cost advantages. The much-awaited India-UK Free Trade Agreement was signed on Thursday, in the presence of Prime Ministers Narendra Modi and his British counterpart, Keir Starmer, during PM Modi's two-day visit to the UK. On May 6, Prime Minister Modi and Prime Minister Starmer announced the successful conclusion of a mutually beneficial India-UK Free Trade Agreement (FTA). This forward-looking Agreement is aligned with India's vision of Viksit Bharat 2047 and complements the growth aspirations of both countries. Both nations desire to increase their trade to USD 120 billion by 2030. The UK government had said that India's average tariff on UK products will drop from 15 per cent to 3 per cent under the India-UK FTA.
