Snapping an eight-month trend of double-digit rise, industrial growth slid to 7.1 per cent in June from 8.3 per cent a month ago.
Growth in manufacturing, which constitutes around 80 per cent of the Index of Industrial Production (IIP) to measure factory output, fell to 7.3 per cent from 8 a year ago, according to government data released on Thursday.
Electricity generation expanded by 3.5 per cent from 8 per cent in June, 2009.
Mining expanded the fastest at 9.5 per cent, but was still lower than 14.2 per cent registered a year ago.
Consumer durables was the only industry to show a somewhat good growth. It expanded by 27.4 per cent against 16.2 a year ago.
As many as 13 out of 17 industries posted a positive growth in June.
However, despite a single digit growth in the month, factory output expanded by 11.6 per cent in the first quarter from 3.9 per cent a year ago.
Industrial growth figures for May was revised downwards to 11.35 per cent from 11.50 per cent estimated earlier.
The decline in industrial expansion will further increase RBI’s dilemma on rate hikes to check inflation, experts said.