Growth in exports is helping the electrical equipment industry to grow: IEEMA

Indian electrical and industrial electronics industry has recorded 4.25 per cent growth in exports in 2016-2017 over the previous year. 

Sanjeev Sardana, President, IEEMA, said, "The sluggish demand and higher imports is still hampering the industry growth. There are high imports visible in HV switchgear (GIS), insulators, AC motors and generators."

As per the data ssued by Indian Electrical and Electronics Manufacturers’ Association (IEEMA), the industry exported Rs 35,276 crore in April to February 2016-17, against Rs 38,580 crore in 2015-16. The growth in exports is helping the industry to grow especially in power transformer and high voltage switchgear products, energy meters and cables.

It said policy changes and various initiatives undertaken by the industry and government are eventually showing signs of revival for the sector.

Sales of low voltage switchgears registered a growth of 22% due to revival in growth of realty, infrastructure and other manufacturing industries. Demand for distribution transformer declined by 12% and reduced by 10% for energy meters due to poor off-take from distribution utilities due to delay in finalisation of orders under central schemes like DDUGJY and IPDS.

Sunil Misra, Director General, IEEMA, said, "Indian Electrical equipment industry is fully equipped, not only to meet the present domestic demand, but also geared up to meet likely demand arising out from capacity addition in the future."