Manufacturing, mining, power pushes up IIP to 10.7% in Aug

Manufacturing, mining, power pushes up IIP to 10.7% in Aug


New Delhi: Continued buoyancy in manufacturing coupled with better performance of the power and mining sectors, pushed up the industrial production to 10.7% in August as compared to 10.3% in the corresponding period last year.

Double-digit growth in August also belied the apprehensions of a slowdown feared on account 7.1% industrial growth witnessed in July 2007, which now has been revised upwards to 7.5%.

The cumulative industrial growth during the first five months (April-August 2007-08), however, slipped to 9.8% from 11% recorded during the corresponding period last year, according to the Index of Industrial Production (IIP) released by the government on 12 October.

The manufacturing sector recorded the double-digit growth rate at 10.4 per cent during August, although down from 11.9% a year ago, the mining sector growth rate improved significantly to 17.1% against a decline of 1.7% in the corresponding month last year.

Electricity generation during August grew by 9.2% as compared to 4.1% a year ago. The capital goods sector during August recorded a robust growth of 30% over 16.6% during the corresponding month a year ago.

On the negative side, the growth rate of the consumer durables sector declined by 6.2% as against a positive growth of 19% in August 2006. The basic goods and intermediate goods, however, recorded growth rates of 13.3% and 12.3% respectively during August, as against 4.8% and 8.7% in the corresponding period last year.