ISLAMABAD: The country’s large scale manufacturing (LSM) growth decreased to 2.49 percent in the first nine months (July-March) of the ongoing fiscal year as 5.48 percent growth was recorded during the same period of last year.
According to the Pakistan Bureau of Statistics (PBS), the fall in growth represented an upset for a number of sectors. In March 2015, the manufacturing sector expanded 4.53 percent and in February 2015 it grew 1.77 percent.
Historically, Pakistan’s manufacturing sector grew at an average rate of eight percent from the 60s to 80s, but fell to 3.9 percent during the 90s. The huge downward jump was mainly caused by reduction in investment levels due to the lack of continuity and consistency in policies.
During the last financial year (July-June 2013/14), LSM growth was recorded at 3.98 percent.
The PBS computes the quantum index numbers of LSM on the basis of latest production data of 112 items received from various sources, including Oil Companies Advisory Committee (OCAC), Ministry of Industries and Production and provincial bureau of statistics. The OCAC supplied the data of 11 items, registering 0.15 percent expansion in July-Mar 2014/15.
The production ministry recorded data of 36 items, exhibiting a growth of 1.02 percent and provincial bureaus of statistics providing data for 65 items registering an expansion of 1.31 percent over the corresponding period (July-Mar) in the last fiscal year (2013/14).
During the period under review, production of iron and steel products increased by 35.6 percent, automobiles 17 percent, leather products 9.6 percent, electronics 8.2 percent, pharmaceuticals 6.38 percent, chemicals 5.94 percent, coke and petroleum products 4.7 percent and non-metallic mineral products 2.56 percent.
