India’s IIP grows five-month high in July 2015

While the manufacturing sector grew 4.7% compared to a contraction of 0.3 % during July 2014-15, capital goods production stood at an impressive 10.6% compared to a contraction of 3% during the same period last year

The Dollar Business Bureau

India’s Index of Industrial Production (IIP) climbed to 4.2% in July, 2015 as manufacturing activity and off take of capital goods increased, thus registering 0.9% year-on-year growth. According to data released by the Central Statistics Office, the manufacturing sector grew 4.7% in July. While the manufacturing sector grew 4.7% compared to a contraction of 0.3 % during July 2014-15, capital goods production stood at an impressive 10.6% compared to a contraction of 3% during the same period last year. Whereas, mining sector registered 1.3% growth, Consumer durables goods output expanded 11.4 % with overall consumer goods output standing at 1.3% during the month. However, power generation growth slowed to 3.5%. According to the Department of Industrial Policy and Promotion (DIPP), the combined Index of eight core industries, which comprise nearly 38 % of the weight of items included in the IIP, stands at 168.0 in July, 2015, which was 1.1 % higher compared to the index of July, 2014. The cumulative growth of the eight core industries during April-July of current fiscal was 2.1 %. Coal production (weight: 4.38 %) increased by 0.3 % in July, 2015 over July, 2014 and its cumulative index during April-July of the current fiscal increased by 5.7% over corresponding period of previous year. Crude Oil production (weight: 5.22 %) declined by 0.4 % in July, 2015 over July, 2014 and its cumulative index during April-July of the current fiscal declined by 0.7 % over the corresponding period of 2014-15. The Natural Gas production (weight: 1.71 %) declined by 4.4 % in July, 2015. Its cumulative index during April-July, 2015-16 declined by 4.2 % over the corresponding period of previous year. Petroleum Refinery production (weight: 5.94%) increased by 2.9 % in July, 2015. Its cumulative index during April-July, 2015-16 increased by 3.9 % over the corresponding period of previous year. Fertilizer production (weight: 1.25%) increased by 8.6 % in July, 2015. Its cumulative index during April-July, 2015-16 increased by 4.1 % over the corresponding period of previous year. Steel production (weight: 6.68%) declined by 2.6 % in July, 2015. Its cumulative index during April-July, 2015-16 increased by 1.4 % over the corresponding period of previous year. Cement production (weight: 2.41%) increased by 1.3 % in July, 2015. Its cumulative index during April-July, 2015-16 increased by 1.0 % over the corresponding period of previous year. Electricity generation (weight: 10.32%) increased by 3.5 % in July, 2015. Its cumulative index during April-July, 2015-16 increased by 2.0 % over the corresponding period of previous year. IIP for the month of August, 2015 will be released on September 30, 2015.

September 12, 2015 | 5:17pm IST.

The Dollar Business Bureau - Sep 12, 2015 12:00 IST
 
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