The growth in the Indian electrical equipment industry has fallen to 6.6 per cent financial year till March 2012 compared to 13.7 per cent in 2010-11.

The industry had recorded a growth of 11.3 per cent in 2009-10, according to Indian Electrical and Electronics Manufacturers’ Association (IEEMA). The fall is mainly due to a decrease in growth in the power sector and higher imports of electrical equipment.

The three segments of the power sector including generation, transmission and distribution are facing difficulties that are to be addressed, IEEMA said. The association said that the growth in the capacitor, switchgear and transmission line segment fell to negative during the financial year. On the other hand, the cable segment recorded a growth of 25.7 per cent during the year.

Meanwhile, experts say that there are no concerns now as the customers are cancelling the orders placed with Chinese firms and are returning to the Indian manufacturers. It is believed that the customers are cancelling orders with Chinese firms due to both quality and service issues.

IEEMA represents 750 member industries and is the highest association of manufacturers of electrical, industrial electronics and allied equipment in the country.