ISLAMABAD, Jan 26: The large-scale manufacturing sector (LSM) posted a negative growth of 0.54 per cent in November after impressive growths recorded in October, September and August of this fiscal year.

The manufacturing sector was showing positive growths despite power shortages and higher input cost but turned sluggish in November, suggested Pakistan Bureau of Statistics (PBS) data released on Thursday.

The LSM sector, which accounts for 70 per cent of industrial production, recorded a negative growth in fiscal year 2010-11. Experts pointed out three main pushing factors: energy crisis, ever-rising input cost and lack of demand in domestic and international market.

As a result, the overall LSM growth in first five months (July-November) of 2011-12 dragged down to 1.52 per cent over the corresponding period last year.

The major contribution towards the negative growth in LSM performance in November 2011 came from fertilisers, which fell by 0.95 per cent, automobiles 4.85 per cent, paper and paper board 5.94 per cent, wood products 8.12 per cent, chemicals 6.16 per cent, iron and steel products 39.79 per cent, respectively.

Still some sectors like textile recorded a positive growth of 0.64 per cent, leather products 40 per cent, pharmaceutical 12.41 per cent, in November 2011 over the last year.

Relying on the growth in the past few months, the government had expected that the economy would grow by about 4.2 per cent. The ministry of finance recently revised down the growth projection to around four per cent.

However, the IMF in its recent forecast has put the growth rate at merely 2.6 per cent by end June 2012.

Industry specific data showed that many sub-sectors didn’t perform well in the July-November period mostly electronic goods, which led to jump in imports of consumer and electronic items.

In the electronic and electrical goods, production of deep freezers was down by 51.94 per cent, electric motors 7.09 per cent, electric meters 14.57 per cent, switch gears 51.38 per cent, electric transformers 15.65 per cent, TV sets 20.84 per cent, storage batteries 27.15 per cent, and bicycles 35.57 per cent during the first five months this year over the last
fiscal year.

However, generating sets recorded a tremendous growth of 116.42 per cent, air-conditioner 19.86 per cent, electric bulbs 6.64 per cent, electric tubes 9.34 per cent, electric fans 2.12 per cent, respectively.

The textile sector, which has an adjusted weight of 20.92 per cent in the LSM basket, recorded growth in 2011-12 over the previous year.

Only cotton yarn and cotton cloth (both semi-finished products) succeeded to improve with 1.45 per cent, 1.01 per cent, respectively.

The best growth was witnessed in case of food, beverages and tobacco. The sector has adjusted weight of 12.37 per cent in LSM basket.

Vegetable ghee grew by 8.94pc, cooking oil 1.38pc, tea blended 26.99pc and wheat 7.47pc, beverages 15.25pc.

The sugar industry posted a growth of 81.83 per cent in July-Nov this year over the last year.

Petroleum sector, which has a significant adjusted weight of 5.51 per cent in LSM basket, witnessed a positive growth of 2.80 pc.

Another important sector, which provides jobs in large numbers across the country, is the automobile sector. However, tractors production dropped by 52.90pc, trucks 29.31 pc,
buses 10.68pc. However, the production of jeeps and cars up by 8.70pc, LCVs 3.64pc and motorcycles 10.65pc.