In a nation of middlemen,there is no money in manufacturing.
Large manufacturing units have staying power in downturn. Most of these have posted dismal Q1 results.
Some have defaulted on loans and these are NPAs of banks.
MSME have no staying power.
With mounting debts and delayed realisations of money for good supplied , mant face cash crunch and banks are wary of lending to them as they have poor balance
sheets. No bank wants to add to their NPAs by lending to them.
Also cheap chinese goods and under priced goods from other countries dumped here are pushing out small players in manufacturing.
