India’s Jan industrial output up 2.6 pct y/y: Govt

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New Delhi | Updated: March 12, 2015 7:23:21 PM

Industrial production grew 2.6 per cent in January mainly on account of improvement in manufacturing activity...

industrial production, industrial production in India, factory output, factory output in India, IIP growth, IIP growth OctoberIndia plans to release industrial output data based on a new methodology and use a different base year for calculating the index in the next few months, a senior government official at the statistics ministry said.

Industrial production grew 2.6 per cent in January mainly on account of improvement in manufacturing activity and better offtake of capital goods.

The growth in factory output, as measured by the Index of Industrial Production (IIP), was 1.1 per cent in January 2014.

For the April-January period of 2014-15, IIP grew 2.5 per cent as against a meagre rise of 0.1 per cent in same period of the last fiscal as per the data released by Central Statistics Office (CSO) today.

Meanwhile, the December IIP has been revised upwards to 3.23 per cent from the provisional estimates of 1.7 per cent released last month.

As per government data released today, manufacturing output, which constitutes over 75 per cent to the index, grew by 3.3 per cent in January compared to a meagre growth of 0.3 per cent in the same month a year ago.

For April-January period, the sector saw an output growth of 1.7 per cent, compared to a contraction of 0.3 per cent in the year-ago period.

The production of capital goods, a barometer of demand, grew by 12.8 per cent in January as against a contraction of 3.9 per cent in same month of last year.

During the April-January period, capital goods output grew by 5.7 per cent as against a dip of 0.8 per cent.

Fourteen out of the 22 industry groups in the manufacturing sector have shown positive growth during the month of January year-on-year.

According to the IIP data, the power generation grew by 2.7 per cent in January compared to 6.5 per cent in the same month last year.

During April-January period, electricity production grew by 9.3 per cent compared to a growth of 5.7 per cent in the corresponding period last fiscal.

However the output in the mining sector contracted by 2.8 per cent in January, compared to a growth of 2.7 per cent in the same month last year. During April-January period, output has grown by 1.3 per cent compared to a contraction of 1.1 per cent year-on-year.

The overall consumer goods output has declined by 1.9 per cent in January compared to a dip of 0.5 per cent in the same month last year.

During April-January, the output of these goods contracted by 4.7 per cent compared to a dip of 2.7 per cent in the corresponding period last fiscal.

Similarly, consumer durables output also contracted by 5.3 per cent compared to a decline in production by 8.3 per cent in the same month last year. In April-January the output declined by 14.2 per cent compared to a dip of 12.5 per cent in the same period last fiscal.

The consumer non-durable production also contracted by 0.1 per cent in January compared to a growth of 4.5 per cent in same month last year. During April-January the output grew by 1.9 per cent compared to a growth of 5.7 per cent.

The intermediate goods also saw decline in production by 0.8 per cent in January compared to a growth of 4.3 per cent in same month last year.

However the basic goods output grew by 4.5 per cent in January compared a growth of 2.8 per cent in same month last year.

Some of the important items showing high positive growth during January over the same month in previous year include Polythene bags, Woollen Carpets, Conductor Aluminium, Stainless/alloy steel, Gems and Jewellery, Plastic Machinery including Moulding Machinery, PVC Pipes and Tubes, Cable, Rubber Insulated, Carbon Steel, Rice, Air Conditioner (Room) and Boilers.

Some of the other important items showing high negative growth are: Electric Sheets, Telephone Instruments (including Mobile Phones & Accessories), Heat Exchangers, Ship Building & Repairs, Tractors, Computers, Steel Structures, Generator/ Alternator, Wood Furniture and Colour TV Sets.

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