Karachi, May 15, 2012 (PPI-OT): Pakistan’s Large Scale Manufacturing (LSM) sector has registered a slight growth of 1.05%YoY during the cumulative period of 9MFY12.
According to Alfalah Securities Limited, in March only, LSM registered a negative growth of 3.69% over the same period last year and a negative 3.05%MoM over February 2012. LSM growth has remained under pressure in the current financial year owing to prolonged energy crises, cost over-run, soaring inflation on account of electricity tariff and petroleum price hike, high interest rates and lower demand of industrial products in the domestic markets.
During the period under review, highest growth was witnessed in the food, beverages and tobacco sector which stood at 1.33%. The Pharmaceutical industry registered a growth of 0.8%, Paper and Board 0.24%, Textiles 0.23% and Leather products grew by 0.03%. On the other hand, production of Iron and Steel products declined by 1.09%, Coke and Petroleum products by 0.34%, Electronics by 0.14%, Chemicals and Rubber products both by 0.12%, Automobiles and Engineering production both declined by 0.05% and Fertilizer’s production reduced by 0.02% over the corresponding period.
Lastly, the production of tractors and trucks declined by 48% and 6.8% respectively whereas the production of buses grew by 23%, Jeeps and Cars by 8.76%, LCV’s by 5.73% and Motor Cycles production inched up by 3.4% during 9MFY12 over the same period last year.