IIP: India's Industrial Output Grew 5.6% In February
The Index of Industrial Production expanded at the fastest pace in three months in February.
India’s factory output rose at the fastest pace in three months in February.
The Index of Industrial Production expanded 5.6% in February, as compared with a revised growth of 5.5% in January, according to data published by the Ministry of Statistics and Programme Implementation on Wednesday.
The industrial output declined 5.6% month-on-month against a rise of 1.1% in January.
Thirty-three economists polled by Bloomberg had forecast February IIP growth at 5%.
The year-on-year growth in the Index of Industrial Production rose slightly in February, well above the forecast of 4.5%, said Aditi Nayar, chief economist at ICRA.
While the disaggregated trend was quite uneven, the improved performance of consumer goods is encouraging, she said.
Dampened by a high base and heavy rainfall, the year-on-year performance of most of the available high frequency indicators have weakened in March 2023, relative to February 2023, she said.
According to her, the year-on-year growth in IIP is expected to dip to about 3-4% in March 2023.
Sectoral Estimates
Mining output grew 4.6% in February, as compared with 8.8% in January.
Manufacturing output expanded 5.3%, as against 4% a month ago.
Electricity generation rose 8.2%, as compared with 12.7% in the previous month.
Industrial output, as classified by the end use of goods, showed:
Primary goods output rose 6.8%, as compared with 9.6% in January.
Capital goods output grew 10.5%, as against 10.7% in the previous month.
Intermediate goods output dipped 0.3% versus a rise of 0.5% a month ago.
Infrastructure and construction goods output rose 7.9%, as against 9.8% in January.
Consumer durables output fell 4%, as compared with a dip of 8.2% a month ago.
Consumer non-durables output rose 12.1%, as against 6.4% in January.
