State Of The Economy 2014

Hopeful of a turnaround

Companies aren’t sure about going ahead with capex plans or making new hires as they grapple with declining sales

Vishal Koul

There is continuous demand from our clients. Growing the business is not a serious concern,” says Sanjay Marathe, founder of Chemcrux Enterprises. He’s clearly confident about the way forward for his ₹20-crore pharma company based in Ankleshwar, Gujarat. Trouble is, voices like these are in a minority these days. This year, as it has for the past four years, the Outlook Business team visited industrial clusters across the country to gauge the state of the economy and capture the mood of India’s businessmen. The collective sentiment this time: muted. There are instances of businesses in recession-proof industries making ambitious plans for the future but, by and large, most companies aren’t sure about going ahead with capex plans or making new hires as they grapple with declining sales.