In December, industrial output grew 1.6% over the same month the year before, according on the so-called quick estimate for the index of industrial production (IIP). The print came in below November's already feeble 3.6% increase (previously reported: 2.7% year-on-year) and represented the slowest pace in 20 months. Market analysts, had expected a 2.0% expansion. The deceleration was the result of slower growth in the mining and manufacturing sectors. The manufacturing sector, which accounts for nearly three quarters of total industrial output, slowed to a 1.0% expansion (November: +3.2% yoy), while mining output moderated to a 3.8% increase (November: +7.4% yoy). In fact, an improvement was only seen in electricity generation, which picked up from 4.6% in November to 6.0% in December. On a use-based classification, the monthly deceleration was the result of a 13.7% contraction in the production of capital goods (November: +12.8% yoy) as well as slower growth in the production of basic goods. After improving for more than a year, the trend in industrial production stabilized between May and October 2010 and started to point downwards in November. In December, the decline steepened further, with, annual average growth in industrial output dropping to 10.4% from 11.9% in November. The national statistical office recently stated that it expects industrial output to rise by 8.0% in the current fiscal year, ending March 2011.
Industrial production continues to lose steam
February 11, 2011
Looking for forecasts related to Industry in India? Download a sample report now.
India Economic News
October 17, 2016
Recently-released data related to India’s external sector showed that the trade deficit totaled USD 8.3 billion in September, which was a smaller shortfall than the USD 10.2 billion gap recorded in September 2015 (August 2016: USD 7.7 billion deficit).
October 15, 2016
In September, consumer prices fell 0.23% from the previous month, which followed August’s flat growth.
October 12, 2016
The fall in industrial production moderated in August, after recording the largest contraction since November 2015 in July.
October 5, 2016
Activity in India’s manufacturing sector lost steam in September.
October 4, 2016
The newly facelifted Reserve Bank of India (RBI) decided to ease monetary policy at a scheduled meeting on 4 October, cutting the repurchase rate from 6.50% to 6.25%—an over five-year low.