here were contrasting performances by airconditioners and refrigerators at the start of the millennium. Production for the former went up briskly by 20 per cent in 2000-01 (though that came down to 15 per cent in the next year), while that of refrigerators was sluggish. From a negative growth at the turn of the century it recovered to grow by 4 per cent in 2001-02.

The room airconditioner segment, according to R K Mehta, executive secretary, Refrigeration and Airconditioning Manufacturers' Association (RAMA), has been growing at a CAGR (compounded annual growth rate) of approximately 20 per cent, driven by the growth of the residential sector. "Lower prices, availability of easy finance, higher disposable income and the urge for better living have all combined to help this growth," he says. However, it's the refrigerator segment, which is growing at a meagre CAGR of three per cent, that Mehta is worried about. ... more