Re rise may hit manufacturing

NEW DELHI: Industry body Ficci has said that appreciating rupee and rising interest rate may significantly slow down the growth in manufacturing sector, which witnessed a record growth of 12.3% in 2006-07.

The two factors have significantly eroded profitability and competitiveness of Indian exporters, a Ficci survey said.The rupee appreciation has made Indian export uncompetitive by 10-12%, says the survey.