India's industrial production declines 0.1% in March 2019

India's industrial production growth eases to 3.6% in FY2019

India's industrial production (base year 2011-12=100) declined 0.1% in March 2019, while snapping growth for last 21 straight months. The industrial production growth for February 2019 has been retained unchanged at 0.1% as reported provisionally.

The manufacturing sector output declined for second straight month and third time in last five-months at 0.4%, while the mining sector production growth eased to 0.8% in March 2019. The electricity generation growth also remained subdued at 2.2% in March 2019, while recovering for third straight month from 1.3% in February 2018 and 0.9% rise in January 2019.

As per the use-based classification, the output of capital goods dipped 8.7% in March 2019, while the output of intermediate goods fell for fifth straight month at 2.5% in March 2019. The output of primary goods rose 2.5%, while the growth infrastructure/ construction goods improved 6.4% in March 2019. Within the consumer durables, the output of consumer non-durables rose at slower pace of 0.3%, while that of consumer durables declined 5.1% in March 2019.

In terms of industries, 12 out of the 23 industry groups in the manufacturing sector have shown negative growth during the month of March 2019 as compared to the corresponding month of the previous year.

The industry group manufacture of furniture has shown the highest negative growth of (-) 24.6% followed by (-) 18.5% in manufacture of other transport equipment and (-) 15.3 in manufacture of fabricated metal products, except machinery and equipment.

On the other hand, the industry group manufacture of tobacco products has shown the highest positive growth of 13.5% followed by 10.6% in manufacture of computer, electronic and optical products and 9.3% in manufacture of wood and products of wood and cork, except furniture; manufacture of articles of straw and plaiting materials.

The cumulative industrial production increased 3.6% in April-March FY2019 compared with 4.4% growth in April-March FY2018. The manufacturing sector growth rose 3.5% in April-March FY2019 from 4.7% growth in the corresponding period last year. The electricity generation output growth eased to 5.2%, while mining output growth improved to 2.8% in April-March FY2019.

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