About 74 per cent of manufacturers are hopeful of a faster growth rate in their respective sectors over the next 12 months, according to a survey of manufacturers by global consulting giant PwC and industry body Federation of Indian Chambers of Commerce & Industry (Ficci).
The India Manufacturing Barometer 2019: Building Export Competitiveness surveyed companies that contribute approximately 12 per cent to the manufacturing GDP of the country, across automobile, electrical machinery, chemicals and textiles sectors, among others.
While the severe lack of working capital continues to be a pain point for micro, small and medium enterprises, the PwC report points out that a slim majority of 51 per cent respondents believe the Goods and Services Tax has had a positive impact in easing logistics and related processes.
However, a larger 66 per cent view the tax legislation as the right move towards boosting investments and fostering economic development.
A significant 85 per cent of business leaders also anticipate an increase in turnover from global demand in the future.
But 58 per cent of firms say the non availability of raw materials locally is the reason for dependence on imports, and only 5 per cent saw a decrease in import share of their raw material.