Industry poised to grow over 10% this fiscal: Pranab

Industry poised to grow over 10% this fiscal: Pranab

New Delhi: Encouraged by the industrial production growth rate of 10.8% in October, finance minister Pranab Mukherjee on Friday sounded confident that the trend would continue and the fiscal would end with double- digit growth rate.

“This (Industrial Production number) is quite encouraging. I hope this trend will continue and double digit growth in industry would be possible," Mukherjee said here.

Expressing satisfaction over cumulative IIP growth rate of 10.3% during April-October, the Minister said, “the trend is encouraging, all the three important sectors—industry, agriculture and services—are evenly growing, and making the contribution to the GDP, which is a healthy sign."

The index of industrial production (IIP) grew by 6.9% during April-October last fiscal.

The industrial growth, which had slipped to 2.8% in 2008-09 following global financial meltdown, rose to 10.4% in 2009-10, mainly on account of stimulus measures provided by the government and the Reserve Bank of India (RBI).

In the current fiscal, the IIP recorded an increase of 15.08% in July, However, it slipped to 6.91% growth in August and 4.4% in September.

The IIP growth in September, Mukherjee said, was an aberration, as in earlier months the industrial production index was quite satisfactory.

The industrial output in October, which registered double -digit growth after two months, rose by 10.8% on back of healthy performance of sectors such as automobile, electronic goods and power.

This is in comparison to the growth rate of 10.1% in October last fiscal.