The automobile sector, which grew by 15 per cent in 1999-2000, has begun the year with a low growth of seven per cent in April.

According to the Confederation of Indian Industry (CII)-Ascon industry monitor, sales of the light commercial vehicles rose 21 per cent during April even as production was down 3 per cent.

Growth in car sales, slowed down from 56 per cent last year to 27 per cent during April 2000 compared to the same month the previous year.

The medium and heavy commercial vehicle (MHCV) production dropped 24 per cent. Scooters, hit hard by the demand recession, saw production drop 10 per cent while around 16 per cent less three-wheelers were produced during the first month of the current fiscal.

The survey said that among major constraints for the sector were high input cost and low demand. The Supreme Court order on environmental norms also added to the industry's problems.

There was more than 30 per cent increase in production of consumer electronics except refrigerators which recorded 10.4 per cent growth.During April 2000, 23 industries recorded double digit growth in exports, while 17 segments showed negative growth trends.

High performers on the export front included aluminium (103 per cent), caustic soda (102 per cent), cement (38 per cent), polyster filament yarn (234 per cent), textile machinery (99 per cent), light commercial vehicles (1378 per cent), scooters (110 per cent) and software (53 per cent).Housing finance recorded a 30 per cent growth during the month compared to 23 per cent during the entire year. However, absence of workable foreclosure laws, shortfall in the supply of serviceable land and absence of well-developed mortgage market for raising required additional fund continued to constrain growth.

In the oil and natural gas sector, crude oil recorded a negative growth of 2.2 per cent owing to decline in production in Bombay High and increased cost of exploration and production. Diesel showed a 6.5 per cent increase in terms of production with refinery production recording 22 per cent growth.Steel production jumped 11 per cent compared to just 1 per cent the previous year. Sales too improved by 6 per cent.

However, growth in steel exports slowed down to 35 per cent compared to 60 per cent during 1998-99. Among the major constraints were trade actions by the United States, and the European Union against Indian export and high charges and congestion at the Indian ports.

Pig iron production and sales showed single digit growth last year which was an improvement from the previous year's negative performance. Exports, which were down by 60 per cent during 1998-99, jumped 82 per cent last year.Among basic goods, the export growth of almunium and caustic soda was 103 and 102 per cent during April. Caustic soda production was 12 per cent up and sales 13 per cent while almunium production was down 7.1 per cent sales were up 18 per cent.

Products that performed poorly in export market are polyester staple fibre, nylon filament yarn, medium and heavy vehicles, steel, consumer electronics, colour tvs, three wheelers and tea.

The areas that suffered the worst drop in production were phosphate, industrial gases, castings, nylon filament yarn, scooters, three wheelers and toiletries.