Industrial output grew 4.2% in April, rose from 5-month low in March

Electricity generation contracted for the second month in a row; manufacturing and mining grew about 5%

Updated - June 12, 2023 09:23 pm IST

Published - June 12, 2023 08:31 pm IST - NEW DELHI

April’s industrial growth still reflected the second slowest uptick in six months, even as the National Statistical Office (NSO) revised the Index of Industrial Production (IIP) for March to show that production had grown 2.3% instead of the earlier estimate of 1.1%. (For Representational purpose only)

April’s industrial growth still reflected the second slowest uptick in six months, even as the National Statistical Office (NSO) revised the Index of Industrial Production (IIP) for March to show that production had grown 2.3% instead of the earlier estimate of 1.1%. (For Representational purpose only) | Photo Credit: AFP

Industrial output grew 4.2% in April, rising from a five-month low in March, with electricity generation contracting for the second month in a row, even as manufacturing and mining grew about 5% in the month.

April’s industrial growth still reflected the second slowest uptick in six months, even as the National Statistical Office (NSO) revised the Index of Industrial Production (IIP) for March to show that production had grown 2.3% instead of the earlier estimate of 1.1%.

Electricity, which contracted 1.6% in March, shrank 1.1% in April, possibly due to unseasonal rains subduing demand. Consumer durables continued to shrink for the fifth month in a row, declining 3.5% in May. Bank of Baroda chief economist Madan Sabnavis said this dip was surprising as demand usually picks up in the post-Rabi harvest season.

The manufacturing uptick was led by infrastructure and construction goods’ production, which surged 12.8%, and consumer non-durables that grew 10.7%. Capital goods’ output grew 6.2% while primary goods and intermediate products recorded a milder rise of 1.9% and 0.8%, respectively, in April.

“The industrial recovery is still uneven and just 4.5% higher in April than the pre-COVID level of February 2020. Even at the disaggregated level, the output of a couple of segments is below the pre-COVID level,” said Sunil Sinha, principal economist at India Ratings and Research.

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.