Tribune News Service
New Delhi, December 10
India’s index for industrial production (IIP) for October showed tepid growth of 3.2 per cent on a year-on-year basis. The IIP shows the growth rates in different industry groups of the economy and is considered a key economic indicator of the manufacturing sector.
The Quick Estimates of IIP index with base 2011-12 stands at 133.7. The IIP for the Mining, Manufacturing and Electricity sectors stand at 109.7, 134.7 and 167.3, respectively, said an official press release. This is called “sectoral industry groups’’ consisting of manufacturing, mining and electricity production figures.
In September, IIP for “sectoral industry groups” stood at 127.9. The IIP for the Mining, Manufacturing and Electricity sectors was 95.1, 129.9 and 167.9, respectively.
“The October industrial production has slowed down despite other indicators showing a recovery. The October IIP is below most estimates. The growth in IIP slowed down despite October being a festive season month. This puts some doubts about the economic recovery that is underway,” said Nish Bhatt, CEO of Millwood Kane.
“The chip shortage has been a cause of concern for the smooth functioning of industrial activities across the globe,” he added.
The Quick Estimates of IIP are released on the 12th of every month with a six-week lag.
Another way of looking at IIP — Use-based classification — showed the indices at 128.5 for Primary Goods, 90.3 for Capital Goods, 143.7 for Intermediate Goods and 151.8 for Infrastructure/ Construction Goods. The indices for Consumer durables and Consumer non-durables were 125.6 and 149.5, respectively for the month October 2021.
Last month, as per Use-based classification, the IIP was 117.3 for Primary Goods, 91.5 for Capital Goods, 140.2 for Intermediate Goods and 142.5 for Infrastructure/ Construction Goods. The indices for Consumer durables and Consumer non-durables were 126.4 and 146.6, respectively.
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