Manufacturing growth likely to be driven by products related to capex cycle while general consumer products may drag; electronics manufacturing is the new frontier !
Manufacturing sector growth slowed down to 1.3% YoY in FY23 resulting in a drop in its share of GVA to 17.7%. Breakup of ‘manufacturing sector’s GVA’ is not yet available for FY23, but IIP constituent trends indicate that ‘consumer products’ primarily dragged down manufacturing in FY23 with exceptions like auto, beverage and furniture, which staged robust growth.