IIP: India's Industrial Output Expands 4.3% In December
The Index of Industrial Production expanded 4.3% in December, compared to 7.3% in November.
India’s factory output rose but at a slower pace than in the previous month.
The Index of Industrial Production expanded 4.3% in December, compared to 7.3% in November, according to data published by the Ministry of Statistics and Programme Implementation on Friday.
The industrial output rose by 5.3% on a month-on-month basis in December.
Thirty-three economists polled by Bloomberg had forecast December IIP growth at 5%.
The IIP growth printed in line with the forecast, the individual performances of which were besieged by base effect related to a shift in the festive calendar, according to Aditi Nayar, chief economist at ICRA.
The year-on-year growth in the IIP is likely to improve in the ongoing quarter, partly boosted by the typical year-end push in volume to achieve targets as well as a low base of the third wave of Covid-19, she said.
However, they remain "watchful of the impact of a slowdown in external demand and the consequent decline in merchandise exports on the performance of the manufacturing sector", Nayar said.
Sectoral Estimates
Mining output rose 9.8% in December, compared to a rise of 9.7% in November.
Manufacturing output expanded 2.6%, after a rise of 6.3% over the previous month.
Electricity generation rose 10.4%, compared to a rise of 12.7% in November.
Industrial output, as classified by the end use of goods, showed:
Primary goods output rose 8.3%, compared to an increase of 4.8% in November.
Capital goods output grew 7.6%, as against 21.6% last month.
Intermediate goods output fell 0.3%, compared to a rise of 3.3% in the previous month.
Infrastructure and construction goods output grew 8.2%, compared to a rise of 13.2% last month.
Consumer durables output fell by 10.4%, from a rise of 5.3%.
Consumer non-durables output rose by 7.2%, compared to a 9.1% gain in November.