Improved power, transportation will make capital goods industry more competitive: Govt

February 27, 2009.

Government says increasing availability of power and development of transportation will help in making capital goods industry more competitive.

Addressing a seminar on emerging opportunities for the capital goods industries, the heavy Industries Minister Mr Santosh Mohan Dev conceded that the growth rate of this sector has come down in the wake of global economic meltdown and it has touched 7.1 per cent from 9 per cent last fiscal. He also called for diversifying this sector by taking advantage of the fast growing sectors like railways, power and defence besides automobile.

Mr Santosh Mohan Dev asserted that five key areas have been identified to put the growth in this sector on fast track. They include machine tools, textile machinery, mining and construction and process plant equipment.

An amount of 300 crore rupees has been earmarked in the current plan as the sector needs modernisation, cutting edge technology and skilled manpower apart from focus on research and development.

Policy experts, entrepreneurs and other stakeholders are participating in the one-day seminar to prepare a strategy for faster development of space, nuclear, energy and defence sectors which are the emerging areas.

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