The Index of Industrial Production
(IIP) increased by
4.1 per cent in February,
against 1.1 per cent in January,
2.5 per cent two months back,
and 6.7 per cent a year ago. The
first revision in January IIP saw a
steep decline in the rate from 6.8
per cent, released initially under
quick estimates, while a similar
revision for December last witnessed
a rise from 1.8 per cent.
Mining was up by 2.1 per cent,
ending the previous six months
of decline, and power generation
increased by 8 per cent, over 6.8
per cent a year ago. Manufacturing
slowed to 4 per cent from 7.5
per cent a year ago, though the
rate indicated an improvement
from a drastically downward
revision of 1.4 per cent (8.5 per
cent) in January.
Taking a slightly longer period
that should even out monthly aberrations,
aggregate IIP was up by
3.5 per cent during April-February
2011-12, less than half the rate a
year ago. Mining eroded by 2.1 per
cent (increase of 5.8 per cent) and
manufacturing retarded to 3.7 per
cent (8.7 per cent), even as power
generation increased by a record
high of 8.7 per cent (5.3 per cent).
Among the 22 major industries
with two-digit classification,
seven declined over April-February
2011-12. These industries
account for two-fifths of manufacturing.
Five industries accounting
for a fifth of manufacturing
increased at double-digit rates,
while the remaining 10 industries
accounting for two-fifth share
expanded at less than 10 per cent.
Going into more details, we find
that out of 268 DIPP monitored
industries, 105 sagged while 163
could increase the production on
a y-o-y basis.
Investment goods ended six
months of y-o-y decline, with
10.6 per cent increase in output
in February, even as the
increase was over a decline a
year ago. Cumulatively, capital
goods showed 1.8 per cent
decline, against 15 per cent
increase during this period in
the earlier year. Around 29 out
of 70 investment goods declined
annually during the first 11
months of FY12, whereas 41
reported increase; of this, 24
achieved double-digit expansion.
Among the other investment
goods, cement production
grew 6.4 per cent (4.3 per cent)
and steel production 6.8 per
cent (9.2 per cent).
Basic goods maintained the
year-ago rate of 5.9 per cent, even
as intermediate goods declined
during April-February 2011-12.
Seven out of 24 basic goods and
25 out of 63 intermediate goods
declined during the first 11
months of 2011-12.
Consumer durables expanded
2.7 per cent, a fifth of the year ago
rate. Eighteen out of 42 consumer
durables posted y-o-y drop in production.
Consumer non-durables
grew 6.5 per cent (3.5 per cent).
Twenty-six out of 69 consumer
non-durables posted decline,
even as 22 achieved double-digit
increase in production.
Untitled Document
INDEX OF INDUSTRIAL PRODUCTION (Y-O-Y % INCREASE) |
|
February |
April-February |
|
2011 |
2012 |
2010-11 |
2011-12 |
| Mining |
1.2 |
2.1 |
5.8 |
-2.1 |
| Manufacturing |
7.5 |
4.0 |
8.7 |
3.7 |
| Electricity |
6.8 |
8.0 |
5.3 |
8.7 |
| Overall IIP |
6.7 |
4.1 |
8.1 |
3.5 |
| Use-based classification |
| Basic goods |
5.5 |
7.5 |
5.9 |
5.9 |
| Capital goods |
-5.7 |
10.6 |
14.7 |
-1.8 |
| Intermediate goods |
6.3 |
-0.6 |
7.8 |
-0.9 |
| Consumer goods |
13.4 |
-0.2 |
8.1 |
4.8 |
| Consumer durables |
18.2 |
-6.7 |
14.1 |
2.7 |
| Consumer non-durables |
9.7 |
5.1 |
3.5 |
6.5 |