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Industrial Statistics in India: An Overview

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1 Industrial Statistics in India: An Overview
Dr. Bivas Chaudhuri, Director, CSO, India Sourav Chakrabarty, Director, NSSO, India

2 Overview Organized Manufacturing Sector
Unorganized Manufacturing Sector Economic Census Business Register Annual Survey of Services Sector

3 Annual Survey of Industries (ASI)

4 Annual Survey of Industries (ASI)
Survey of Registered Manufacturing Units Continuing Since 1960 Coverage: Sections 2(m)(i) and 2(m)(ii) of the Factories Act, 1948. Bidi and Cigar manufacturing establishments registered under the Bidi and Cigar Workers (Conditions of Employment) Act 1966. OTHER THAN Government Units Data are collected under The Collection of Statistics Act, 1953/2008 Around 2,60,000 units in the Frame

5 ASI "Manufacturing Process“ has been defined [vide section 2(k)] in the Factories Act, 1948 as: "Any process for- (i) making, altering, ornamenting, finishing, packing, oiling, washing, cleaning, breaking up, demolishing or otherwise treating or adapting any article or substance with a view to its use , sale , transport , delivery or disposal; or, (ii) pumping oil, water or sewage ; or, (iii) generating, transforming or transmitting power; or, (iv) composing types for printing by letter press, lithography, photogravure or other similar process or book binding; or, (v) constructing, reconstructing, repairing, refitting, finishing or breaking up ships or vessels. (vi) preserving or storing any article in cold storage"

6 Cont… Geographical Coverage: The ASI extends to the entire country.
Reference Period: The reference period (year) for ASI is the financial year (April-March) for all items. Reference period for ASI is the financial year April – March 2012. Survey Period: The actual survey period for ASI is generally September to April every year. Industrial Classification: NIC 2008 developed on the basis of UN ISIC Rev. 4 is being adopted from ASI onwards. Product Classification: NPCMS, 2011 developed based on Sections 0 to 4 of CPC, Ver. 2.0 has been used from ASI onwards.

7 ASI At present, the Standing Committee on Industrial Statistics (SCIS) is the advisory committee for conducting the Annual Survey of Industries, headed by a renowned academics . Follows major guidelines of IRIS, 2008 Follows ISIC and CPC in classification

8 IRIS-2008 and its Implementation
Sr. no IRIS-2008 Action Taken 1 ISIC Rev 4 (R. 4c) NIC 2008 2 CPC Ver. 2 (R. 4c) NPCMS 2011 3 Scope of Industrial Statistics (R. 5) As per ISIC, Rev. 4 Sect. B: Mining & quarrying Sect. C: Manufacturing Sect. D: Elect., gas etc. Sect. E: Water supply etc. 4 Short-term business statistics in the form of indices (R.10) IIP with base [base year under revision] 5 Unregistered units (R. 11) NSS enterprise survey

9 Sampling Design in ASI List Frame: Chief Inspector of Factories
Sampling Design : Stratified Circular Systematic Strata : Census and Sample Census Sector: a) All industrial units belonging to the six less industrially developed states/ UT’s., b) Units having 100 or more workers, and c) After excluding the Census Sector units as defined above, d) All units belonging to the strata (State by 4-digit of NIC-2008) having less than or equal to 4 units are also considered as Census Sector units.

10 Cont… Sample Sector: Remaining units are arranged in order of their number of workers and samples are then drawn circular systematically considering sampling fraction of 18% within each stratum (State X Sector X 4-digit NIC) for all the states with a view to cover max. 60,000 units per year. Residual Frame: After selecting the central sample in the way mentioned above, the remaining units in the sample sector are treated as residual frame for selection of sample units for the States/UTs.

11 Cont… ASI 2011-12 Census (27,058) Central Sample: 61,866
Stratum: State X NIC 4-d Residual Frame: 1,56,572 State Sample (37,521) Stratum : District X NIC 3-d

12 Estimation of Sampling Error in ASI
, For the sample sector units only. For all-India, the estimated variances of the estimates will be as follows: For ratio : at all-India, where = estimate of population total X, Y for the characteristics x, y

13 Estimates of RSE

14 Control of Non-Sampling Error
Record based survey Experienced field investigators Training to the field investigators Close monitoring of field work Data validation and scrutinization

15 ASI Schedule Structure
Part I Structured in 14 blocks Part II Structured in 2 blocks

16 ASI Schedule Structure (Part I)
BLOCK A&B : Identification particulars BLOCK C : Fixed Asset BLOCK D : Working Capital BLOCK E : Employment BLOCK F : Other Expenses Block G : Other Output/Receipts BLOCK H : Indigenous Input BLOCK I : Imported Input Block J: Products & By-products Block K: ICT indicators Block L: Energy conservation measures Block M&N: Particulars of field operation & Comments of Scrutinizing Officer.

17 New Initiatives & Future Plan
Modern system of Collection of ASI Data e-schedule ASI on pilot basis ASI , and complete e-schedule ASI Web-portal (www.csoisw.gov.in) ASI (first time) Frame updation Data Collection Data Processing Data Dissemination Pooling of Central and State level ASI data District (sub-state) level estimates Selected ASI Results.docx Estimate of structural ratios and technical co.docx

18 Issues Suggestions Concordance in classification
In Division 11, Manufacturing of low alcoholic drinks (below 8%) like Breezer may be separated out from In Division 13, sub-classification of Khadi industries is required at 5-digit level under 1312, 1313, in NIC 2008. In Division 20, Manufacturing of Caustic Soda, Caustic Potash, main input items of all soap and detergent industries needs a separate sub-class classification. In Division 26, Manufacture of Surveillance equipment should be included in a sub-class under class 2630. Under Division 27, a new upcoming industry with big domestic market Manufacture of Kitchen Chimney may be included in class 2750. Under Division 31: Manufacture of Furniture, another activity Manufacture of decorative and ornamental articles ( non-precious) may be included. Non-availability of separate classification of a major polluting activity like Manufacture of chlor-alkali ( caustic soda, caustic potash).

19 Issues for UNSD Non availability of proper classificatory environmental indicators related activity and product. An indicator can be prefixed with the existing ISIC code. Problem on concordance at ultimate digit to prepare time-series data. Defining ‘P’ is a problem. Mixed Activity Examples of industries red,orange,green category.docx Issue of Concordance.docx Estimate of RSE for few basic parameters at 2.docx

20 CSO (IS Wing) Publications
Annual Survey of Industries- Vol. - I (in e-media from ) Annual Survey of Industries – Vol. – II (In CD) National Product Classification for Manufacturing Sector (NPCMS) – 2011 National Industrial Classification – 2008 The Journal of Industrial Statistics (bi-annual in March and September since 2012) The Time Series data of ASI over last 25 years or more.

21 Data Dissemination ASI Data are disseminated both in printed and electronic forms according to the National Data Dissemination Policy of the Govt. of India. The printed publications are available at Sales Counters of Controller of Publication, New Delhi. ASI data, published tables and customised special tables are now available in electronic media on request on chargeable basis. The unit level data and customised tables are available at O/o the Deputy Director General, Computer Centre, Ministry of Statistics. & P. I. , East Block-10, R. K. Puram, New Delhi Enquiries relating to procurement of data can be made at :   Telephone : ( Mr. D. R. Dagar, Deputy Director).

22 Top Five Industries in China based on GVA for the year 2007-08
ISIC-Rev 3 Description Value Added at Producers' prices (in billion USD) Wages and salaries (in billion USD) No. of employees (in Thousand No.) No. of enterprises (in Number). GFCF 271 Basic Iron and Steel 122.26 12.42 3044 7161 171.63 242 Other Chemicals 73.75 10.58 3037 17954 65.10 241 Basic Chemicals 60.09 6.76 2212 11042 105.98 272 Basic Precious and Non-Ferrous Metal 58.72 5.30 1487 6117 56.96 269 Non-metallic Mineral Products n.e.c 55.75 8.83 3774 21258 69.09 Sources: UNIDO, 2011

23 Top Five Industries in India based on GVA for the year 2007-2008
ISIC-Rev 3 Description Value Added at Producers' prices (in billion USD) Wages and salaries (in billion USD) No. of employees (in Thousand No.) No. of enterprises (in Number) GFCF 271 Basic Iron and Steel 20.53 2.51 562.8 4098 7.44 232 Refined Petroleum Products 17.34 0.48 76.1 524 1.66 242 Other Chemicals 10.57 1.99 665.4 8209 3.12 269 Non-metallic Mineral Products n.e.c 8.68 1.05 613 15234 3.28 241 Basic Chemicals 7.65 1.02 207.6 2921 2.19 Sources: UNIDO, 2011

24 Value added per employee (in USD) in China and India for the year 2007-2008
Sources: UNIDO, 2011

25 Wage and Salary per employee (in USD) in China and India for the year 2007-2008
Sources: UNIDO, 2011

26 Value added per enterprise (in USD) in China and India for the year 2007-2008
Sources: UNIDO, 2011

27 Economic Census

28 Economic Census 6th EC [ 2013] is in the field
Data are expected by 2013 end. Economic Census.docx

29 Business Register

30 Business Register The initiatives have already been taken.
State DES are involved in preparation of business register. On pilot basis States are updating the 5th EC Directory of Establishments for the preparation of Business Register. On completion of 6th EC, State DES would update the Business Register at District level.

31 Annual Survey of Services Sector

32 Service Sector Non agricultural and non-manufacturing
It includes construction, wholesale or retail trade, hotels and restaurants, transport, storage & warehousing, communication, financing, insurance, real estate and business services, community, social and personal services, schools, hospitals, recreation and cultural services, community services such as temples, etc. Government units are excluded. All over India Pilot survey was conducted during 5th EC data used as frame Full Survey is proposed after 6th EC Frame

33 Unorganised Enterprise Surveys

34 Objective.. To get estimates of various economic and operational characteristics of unorganised enterprises in different sectors viz manufacturing, trade, services Mainly two types of enterprises were considered- own account enterprises and establishments

35 Genesis.. Economic Censuses (EC)- the frame for the follow-up surveys on non-agricultural enterprises including the non-household based units in the service sector

36 Enterprise Survey The latest NSS enterprise survey was conducted during its 67th round of operation ( ) The enterprises covered in NSS 67th round were divided into three broad industry groups, viz. (i) manufacturing, (ii) trade and (iii) other service sector enterprises This is the first time when NSS conducts integrated enterprise survey

37 Sampling Design.. Generally stratified multi-stage design had been used by NSS for enterprise surveys The first stage units (FSU) were the census villages (Panchayat wards in case of Kerala) in the rural sector and Urban Frame Survey (UFS) blocks in the urban sector. The ultimate stage units (USU) were enterprises in both the sectors. In case of large FSUs, one intermediate stage of sampling was the selection of three hamlet- groups (hgs)/ sub-blocks (sbs) from each large rural/ urban FSU

38 Frame.. Census 2001 villages- Area Frame
EC-2005 list of enterprises – List Frame Urban Frame Survey Blocks- Area Frame

39 Survey Period, Stratification, Allocation..
The survey period ( round) was of 1 year The survey period was divided in to 4 equally spaced sub- rounds A sample of 16,000 FSUs for central sample and 18,248 FSUs for state sample have been allocated at all-India level stratum Out of FSUs for central survey, FSUs were actually surveyed

40 Some facts.. Schedule designed based on SNA concepts
NIC 2008 based on ISIC Rev. 4.0 was used While calculating the value addition, ‘taxes on production’ was not used considered as an ‘input’ (operating expenses) , although the same was collected Similarly while calculating the value addition, ‘production subsidy/interest subsidy ’ was not used considered as an ‘output’ (receipts) , although the same was collected Information on NPISH was collected Information on type of agreement of the enterprise with other units were collected Compensation of workers were collected to arrive at total emoluments Use of ICT by enterprises Valuation were made by using both production approach and factor income approach

41 Survey Errors.. Non sampling errors are controlled by:
Exhaustive training to the enumerators Exhaustive training to the data processing officials Pre data entry scrutiny Scrutiny at the data entry stage Outlier diagnostics Sampling errors are computed and reported through ‘relative standard error’ on some important characteristics of the enterprise

42


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