Kautilya Academy 18-04-2020
The Reserve Bank of India launched its 49th round of order books, inventories and capacity utilisation survey (OBICUS) of the manufacturing sector on April 16, 2020. The survey covers the reference period between January-March 2020.
The RBI has been conducting the OBICUS survey on a quarterly basis since 2008. The survey provides valuable information required for the formulation of monetary policy.
The company-level data collected during the survey is treated as confidential and never disclosed.
• The information collected during the 49th OBICUS survey includes quantitative data on the new orders received during the reference quarter, backlog of orders at the quarter’s beginning and pending orders towards the end.
• The survey also collects information such as total inventories left at the end of the quarter including work-in-progress and finished goods inventories and item-wise production in terms of quantity and value during the quarter with regard to the installed capacity from the targeted group.
• The survey estimates the level of capacity utilisation (CU) from these responses.
• The bank will approach selected manufacturing companies during this quarter.
The RBI had covered around 704 manufacturing companies in the 48th round of OBICUS survey for the reference quarter- October-December 2019. As per the survey, the capacity utilisation (CU) had declined to 68.6 percent from 69. 1 percent in the previous quarter. The orders received during the period were also lower than in the previous quarter.