The government has been taking measures to increase the share of manufacturing in India’s GDP and boost the country’s exports. Several reforms and schemes launched by the government over the years have unlocked economic development and improved the business environment.
Propelled by government initiatives, the manufacturing sector has produced several multibaggers on Dalal Street over the last few years and still has the potential to create several multibaggers going forward. As manufacturing activities continue to advance, shares of Balu Forge Industries, a small-cap stock that is engaged in the industrial production sector, have emerged as one of the top gainers on Dalal Street.
According to information available on the BSE website, its shares have delivered multibagger returns of 130 per cent in the past six months and nearly 200 per cent on YTD basis.
Backed by ace investor Ashish Kacholia, the capital goods sector player on Tuesday jumped more than 10 per cent to hit a fresh 52-week high of Rs 202.90 amid the announcement of a fundraising plan.
The board is scheduled to meet next week to consider and approve a proposal for raising funds through a preferential issue or private placement of convertible securities.
Recently, the Mumbai-based manufacturing sector giant said that it is in the process of commissioning a precision machining line of the Mercedes Benz Truck Factory, which was recently acquired from Mannheim, Germany.
Meanwhile, Commerce and Industry Minister Piyush Goyal held deliberations last month with representatives of the top 100 companies from the NSE/BSE on boosting the country’s exports amid a slowdown in global demand.
The discussions were held against the backdrop of the contraction of exports by 22 per cent, the steepest decline in the last three years, to USD 32.97 billion in June on account of a global demand slowdown, according to a report by news agency PTI.