IIP seems slowing down in Nov, too: Com Secy

Expressing concern at the fall in the industrial production to 15-year low to register a negative growth in October, the government today said the industrial growth appears to be slowing down in November as well.

"The government has taken note of a slowdown in the industrial production in October, which appears to be continuing in November," Commerce Secretary G K Pillai told reporters here.

Calling the dismal performance of the industrial production as a matter of concern, the Commerce Secretary attributed it partly to the impact of global meltdown, which has choked up the financial system.

He said the economic package was finalised for this very reason.

Industrial output shrank by 0.4 per cent in October for the first time in 15 years after recording a whopping 12.2 per cent growth a year ago.

"The Committee of Secretaries headed by Cabinet Secretary K M Chandrasekhar and the apex committee headed by Prime Minister Manmohan Singh are closely monitoring the situation. We get fortnightly updates," Pillai added.

Reserve Bank of India came out with recent measures, including cutting short-term policy rates by 100 basis points and announcing other sector-specific steps, and the government announced fiscal package after deliberations in the apex committee and the panel of secretaries.