April to March 2019-20

Indian Electrical Equipment industry has registered a decline of 14% in FY2019-20 as compared to 11% growth in the same period of past year. The decline in growth was continuously rising quarter on quarter. Q4 witness highest decline of over 22% due to loss of important last 15 days of March due to lockdown occurred due to Covid-19.

Brief Summary analysis of the same is as under:

• Decline in TLT, Conductors Insulator and Inst. Transformers (Transmission equipment) and HVSWGR, PT, Cables, Surge Arresters, Insulators (Sub-Station Equipment)
• Decline in Porcelain type but marginal growth in Polymer type Insulators
• Decline in Meters, however Growth for Smart Meters mainly due to demand from EESL
• Decline in Rotating machines due to lack of momentum in industrial activities except some offtake from rolling mills and conventional generation, water management sector
• Mere 3% growth in LV Swgr – with Exports growth support only, domestic demand decelerating
• Delay in order finalization due to financial crunch/liquidity as financial institutions are restrictive in funding due to already high NPAs
• Some core sectors and Realty are in downward trend & no capex plans
• Exports is the only help to some extent
• Switchgear & Cable has good exports growth but domestic demand declining especially for LV and House wiring
• TLT has exports growth & domestic demand showing some growing trends for < 400 KV
• Above 400kv segment mfrs had invested enormously in putting elaborate facilities and acquiring technical know how has seen a de-growth of 21%. All segments except 33 & 220 kv

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