IIP growth for the April-July period was 5.4 percent compared to 1.7 percent in the year ago period
India’s industrial production growth fell to 6.6 percent in July as compared to a revised 6.9 percent in June, data released by statistics office showed. It had expanded 1 percent in July last year. The June IIP figure has been revised from 7 percent earlier.
Industrial production grew on the back of good performance by the manufacturing sector and higher offtake of capital goods and consumer durables.
IIP growth for the April-July period was 5.4 percent compared to 1.7 percent in the year ago period.
Factory output measured by the Index of Industrial Production (IIP) is the closest approximation for measuring economic activity in the country’s business landscape, according to the data released by Central Statistics Office (CSO).
In terms of industries, 22 out of 23 industry groups in the manufacturing sector showed positive growth during July.
Manufacturing sector, which accounts for more than three-fourths of the entire index, came in at 7 percent in July as compared to 6.9 percent in June and a contraction of 0.1 percent in the same month last year.
Capital goods production grew 3 percent in July as against decline of 1.1 percent YoY.
Consumer durables sector recorded an impressive growth of 14.4 percent in July from 13.1 percent in June and a dip of 2.4 percent year-on-year. Consumer non-durables grew 5.6 percent as compared with a flattish 0.5 percent growth month-on-month.
Electricity production stood at 6.7 percent in July as compared with 8.5 percent in June, while growth in mining activity fell to 3.7 percent from 6.6 a month ago.
Furniture manufacture has seen the highest growth of 42.7 percent followed by 30.8 percent in computer, electronics and optical products and 28.4 percent in tobacco products.Manufacture of paper and paper products and printing and reproduction of recorded media have shown the highest negative growth of 2.7 percent followed by machinery and equipment with a degrowth of 0.9 percent.