Industrial production growth slows to 1.7% in January 2019

12 out of 23 industry groups in the manufacturing sector shows negative growth

India's industrial production (base year 2011-12=100) rose at slower pace of 1.7% in January 2019, compared with 2.6% growth recorded in December 2018. The industrial production growth for December 2018 has been revised upwards from 2.4% increase reported provisionally.

The growth of output of manufacturing sector moderated to 1.3%, while the electricity generation rose mere 0.8% in January 2019. However, the mining output rebounded 3.9% in January 2019, snapping 1% decline in December 2018.

As per the use-based classification, capital goods output declined 3.2% in January 2019 over a year ago, while the output of intermediate goods also fell 3.0% in January 2019. However, the output of primary goods increased 1.4%, while that of infrastructure/ construction goods moved up 7.9% in January 2019. The output of consumer durables moved up 1.8%, while that of consumer non-durable durables also rose 3.8% in January 2019.

In terms of industries, eleven out of the twenty three industry groups in the manufacturing sector have shown positive growth during the month of January 2019 as compared to the corresponding month of the previous year.

The industry group food products have shown the highest positive growth of 17.0%, followed by 16.4% in wearing apparel and 10.4% in printing and reproduction of recorded media.

On the other hand, the industry group 'furniture has shown the highest negative growth of (-) 12.0% followed by (-) 9.0% in fabricated metal products, except machinery and equipment and (-) 6.4 in paper and paper products.

The cumulative industrial production increased 4.4% in April-January FY2019 compared with 4.1% growth in April-January FY2018. The manufacturing sector growth has improved to 4.4% in April-January FY2019 from 4.2% growth in the corresponding period last year. The electricity generation output growth also improved to 5.8%, while mining output growth accelerated to 5.3% in April-January FY2019.

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