Industrial growth slips to single digit at 7.1 per cent

August 12, 2010 12:13 pm | Updated November 05, 2016 05:21 am IST - New Delhi

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.

0 / 0
Sign in to unlock member-only benefits!
  • Access 10 free stories every month
  • Save stories to read later
  • Access to comment on every story
  • Sign-up/manage your newsletter subscriptions with a single click
  • Get notified by email for early access to discounts & offers on our products
Sign in

Comments

Comments have to be in English, and in full sentences. They cannot be abusive or personal. Please abide by our community guidelines for posting your comments.

We have migrated to a new commenting platform. If you are already a registered user of The Hindu and logged in, you may continue to engage with our articles. If you do not have an account please register and login to post comments. Users can access their older comments by logging into their accounts on Vuukle.