Industrial production grows at 4.1% in April

Industrial production grew at a two-month high of 4.1 percent in April, primarily driven by the manufacturing sector, but capital goods growth slowed. The factory output, measured by the Index of Industrial Production (IIP), was 3.7 percent in April 2014.

The industrial growth for March too has been revised upwards to 2.5 percent from 2.1 percent, as per the data released by the government on Friday.

Manufacturing output, which constitutes over 75 percent of the index, grew at higher rate of 5.1 percent in April as against 3 percent in the same month last year.

The production of capital goods, a barometer of demand, however, grew at a slower pace of 11.1 percent in April as against 13.4 percent in the same month last year. In April this year, mining sector too grew at a slower rate.

The growth was 0.6 percent as against 1.7 percent in April last year. On the other hand, electricity production contracted by 0.5 percent, while it had expanded by 11.9 percent in the same month last year.

In terms of industries, 16 out of the 22 industry groups in the manufacturing sector have shown positive growth during April compared with the corresponding month previous year.

The industry group 'Machinery and equipment' has shown the highest positive growth of 20.6 percent, followed by 16.2 percent in 'wood and products of wood and cork except furniture', the data said.

On the other hand, the industry group 'office, accounting and computing machinery' has shown the highest negative growth of 36.5 percent, followed by 34 percent in 'radio, TV and communication equipment and apparatus' and 26.7 percent in 'tobacco products'.