The government will on Monday evening release the keenly-watched factory output data for the month of July. The factory output measured in terms of Index of Industrial Production (IIP) grew 12.3 per cent in June this year, remaining in double digit for second month in a row due to base effect.
Industrial production grew by 13 per cent in August last year. Thereafter, the IIP growth remained below 4.4 per cent (in September) and touched the lowest level of 1 per cent in November as well as December last year. The IIP growth was 2 per cent in January, 1.2 per cent in February and 2.2 per cent in March. The industrial output growth picked pace at 6.7 per cent in April, the first month of current fiscal year 2022-23 and touched double digit at 19.6 per cent in May 2022.
The IIP growth was recorded at 27.6 per cent in May last year, mainly due to the low-base effect. This macroeconomic data is important for policymakers as it showcases the current state of manufacturing, mining and other important sectors.
Releasing the IIP data for June last month, Ministry of Statistics and Programme Implementation had said the growth rates over corresponding period of previous year are to be interpreted considering the unusual circumstances on account of the pandemic since March 2020.
The Quick Estimates of IIP are released on the 12th of every month (or previous working day if 12th is a holiday) with a six-week lag. They are compiled from data received from source agencies, which in turn receive the inputs from the producing factories/ establishments.