Close to 30% of India Inc was functioning at high levels of capacity utilisation of 70% and above with just under half expecting to operate at these levels in the near term, results from an industry survey showed on Monday.
Aimed at capturing the improvements in business operations and expectations since the Unlock phase began in June, the Federation of Indian Chambers of Commerce & Industry (FICCI) survey revealed firms saw positive growth in exports, cashflows and supply chain functioning.
The survey titled ‘Rebooting The Indian Economy’, conducted with Dhruva Advisors, saw participation of 100 company chiefs from across sectors. It found 22% of respondents witnessed increased exports in June while a fourth reported improvements in the number of orders since the lockdown.
In comparison, only 5% of surveyed firms in the April edition of the survey expected improvements in exports and 7% had reported increased orders. In terms of cash flows, just 10% had anticipated an improvement in April versus 21% who saw better cash flows in June.
“These numbers are on expected lines and underscore the nascent recovery that is currently underway,” said Sangita Reddy, president of FICCI, adding that, “Given the evolving situation, it is important that we continue to take measures that are supportive of businesses enabling them to tide over the current crisis as well as prepare well for the long-term opportunities.”
Source: Economic Times
