IIP grows 4.5% in February, highest in 7 months on higher output in mining, manufacturing and electricity

The country's industrial output grew by 4.5 percent in February, mainly on account of higher output in mining, manufacturing and electricity sector, government data showed on Thursday

Press Trust of India April 09, 2020 18:12:41 IST
IIP grows 4.5% in February, highest in 7 months on higher output in mining, manufacturing and electricity

New Delhi: India's industrial production grew at the fastest pace in seven months at 4.5 percent during February, mainly on account of uptick in mining and manufacturing activity as well as power generation, official data showed on Thursday.

Factory output, as measured in terms of the Index of Industrial Production (IIP), had recorded a growth of 0.2 percent in February 2019. It had registered a growth of 4.9 percent in July 2019.

The production contracted by 1.4 percent in August, 4.6 in September and 6.6 percent in October last year. It grew 2.1 percent in November and 0.1 percent in December 2019 and 2.1 percent in January 2020.

Last month, provisional data showed IIP growth of 2 percent in January, 2020.

According to a data by the National Statistical Office (NSO), the manufacturing sector output grew at a rate of 3.2 percent in February compared to a contraction of 0.3 percent in the same month a year ago.

Electricity generation increased by 8.1 percent as against a growth of 1.3 percent in February 2019. Mining sector output surged by 10 percent compared to a growth of 2.2 percent earlier.

The IIP growth during the April-February period of the last fiscal decelerated to 0.9 percent from 4 percent expansion in the same period of 2018-19.

The data for February showed that production of capital goods, a barometer of investment, shrunk by 9.7 percent as compared to a contraction of 9.3 percent in the corresponding month of the previous year.

As per use-based classification, primary good registered a growth of 7.4 percent, intermediate goods 22.4 percent, and infrastructure/construction goods 0.1 percent in February 2020 as against the same period a year ago.

The consumer durables output fell 6.4 percent, while non-durables remained flat.

In terms of industries, 13 out of 23 industry groups in the manufacturing sector have shown positive growth in February 2020.

The industry group 'Manufacture of basic metals' has shown the highest positive growth of 18.2 percent followed by 8.0 percent in 'Manufacture of chemicals and chemical products' and in 'Manufacture of other non-metallic mineral products', as per the data.

On the other hand, the industry group 'Manufacture of motor vehicles, trailers and semi-trailers' has shown the highest negative growth of (-) 15.6 percent followed by (-) 14.8 percent in Manufacture of computer, electronic and optical products', and (-) 9.9 percent in Manufacture of fabricated metal products, except machinery and equipment.

Updated Date:

also read

Dark times: Why Australia has asked its residents to turn off their lights every day for two hours
World

Dark times: Why Australia has asked its residents to turn off their lights every day for two hours

Shortage of coal, the Russia-Ukraine war and mismanagement of resources has led to concerns that Australia may experience a blackout

Emmanuel Macron loses Parliament majority: What this means for French politics
World

Emmanuel Macron loses Parliament majority: What this means for French politics

The election undercuts Emmanuel Macron’s leadership, threatens his plans to raise the country’s retirement age and cut taxes, and reshapes France’s political landscape

All that glitters: In the age of social media proximity, the inevitable slow death of stardom era
Entertainment

All that glitters: In the age of social media proximity, the inevitable slow death of stardom era

Though the stardom era is coming to an end, the nostalgia and craze attached to the world’s greatest superstars, Shah Rukh Khan and Tom Cruise, makes us believe that some things don’t change.