India Inc is on an expansion drive, with not just new capacities being added but a few shelved projects being revived after a gap of four years.

Investments in new projects have grown 8.54 per cent or Rs 125,181 crore (Rs 1,251.81 billion) in the last 12 months -- one of the biggest rise in recent time.

Total new investments, which are at different stages of implementation, have risen to Rs 15,90,057 crore (Rs 15,900.57 billion) in April 2004 compared with Rs 14,64,876 crore (Rs 14.648.76 billion) a year ago, according to the Centre for Monitoring Indian Economy.

The big surge in total investments is mainly on account of new capacities being added by the manufacturing sector, especially non-ferrous metals, pharmaceuticals, organic chemicals, automobile, electronics and fertilisers.

In the last 12 months investments in new projects by the manufacturing sector jumped Rs 47,870 crore (Rs 478.70 billion) to Rs 3,31,357 crore (Rs 3,313.57 billion). The comparative figure last year was Rs 2,83,487 crore (Rs 2.834.87 billion).

However, fresh investments in industries such as petroleum products, cotton textiles, cement and electrical machinery have slipped.

According to CMIE's review of investment projects, the ferrous metals industry had 170 new investments, including 26 projects worth Rs 1,259 crore (Rs 12.59 billion) revived, envisaging an investment of Rs 21,417 crore (Rs 214.17 billion) over the last one year.

In the non-ferrous industry 15 new projects worth Rs 10,734 crore (Rs 107.34 billion) have been announced. Five projects worth Rs 10,284 crore (Rs 102.84 billion) have been announced in the last three months.

The steel industry has shown a 59 per cent rise in new projects, with 63 projects worth Rs 15,833 crore (Rs 158.33 billion) being planned in 12 months.

Industries such as pharmaceuticals, organic chemicals, automobile and electronics have shown a modest rise of 10-25 per cent in new investments.

On the infrastructure front, the power generating sector has seen 234 new projects worth Rs 36,683 crore (Rs 366.83 billion) being announced in the last 12 months.

In addition, 32 projects amounting to Rs 20,898 crore (Rs 208.98 billion) being revived. The road sector saw the announcement of 741 new projects worth Rs 9,883 crore (Rs 98.83 billion).

The service sector has shown a 5.5 per cent rise in new investments.