Business & Economy

India's industrial output grows by 2.1% in June 2016

NetIndian News Network

New Delhi, August 12, 2016

India's industrial production grew by 2.1 percent in June 2016 as compared to the level in the same month of last year, provisional data released here today said.
The country's industrial output had grown by 1.2 percent in May after contracting by 0.8 percent in April.
The cumulative growth for the period April-June 2016 over the corresponding period of the previous year stood at 0.6 percent, an official statement, quoting the Quick Estimates of Index of Industrial Production and Use-Based Index for June 2016, said.
The statement said the Indices of Industrial Production for the Mining, Manufacturing and Electricity sectors June 2016 stood at 127.3, 191.3 and 198.9, respectively, with corresponding growth rates of 4.7 percent, 0.9 percent and 8.3 percent as compared to June 2015.
The cumulative growth in these three sectors during April-June 2016 over the corresponding period of 2015 was 2.3 percent, (-) 0.7 percent and 9.0 percent, respectively.
The statement said 18 of the 22 industry groups in the manufacturing sector had shown positive growth during June 2016 the month of June 2016 as compared to the corresponding month of the previous year.
The industry group ‘Radio, TV and communication equipment & apparatus’ showed the highest positive growth of 15.8 percent followed by 8.8 percent in ‘Motor vehicles, trailers & semi-trailers’ and 8.7 percent in ‘Other transport equipment’. On the other hand, ‘Electrical machinery & apparatus n.e.c.’ showed the highest negative growth of (-) 46.1 percent, followed by (-) 13.8 percent in ‘Luggage, handbags, saddlery, harness & footwear; tanning and dressing of leather products’ and (-) 9.0 percent in ‘Furniture; manufacturing n.e.c.’.
The growth rates in June 2016 over June 2015 were 5.9 percent in Basic goods, (-) 16.5 percent in Capital goods and 6.1 percent in Intermediate goods. Consumer durables and Consumer non-durables recorded growth of 5.6 percent and 1.0 percent, respectively, with the overall growth in Consumer goods being 2.8 percent.
Items which registered high positive growth include ‘Lubricating oil’ (62.2%), ‘Woollen Carpets’ (38.9%), ‘Scooters and Mopeds’ (31.5%), ‘Ethylene’ (30.1%), ‘Steel structures’ (27.7%) and ‘Telephone instruments including mobile phone and accessories’ (25.3%).
Items which showed high negative growth during June 2016 over the same month in the previous year include ‘Cable, Rubber Insulated’ [(-) 84.0%], ‘Sugar Machinery’ [(-) 73.2%], ‘Heat Exchangers’ [(-) 53.3%], ‘Particle Boards’ [(-) 35.5%] and ‘H R Sheets’ [(-) 26.2%].
Taking into account the weights, the dominant item groups which contributed positively to the overall growth of IIP in June were electricity, minerals, commercial vehicles, telephone instruments including mobile phones and accessories, and cement.
Negative contributors included cable and insulated rubber, gems and jewellery, sugar machinery, rice and antibiotics and their preparations, the statement added.