Industrial output sets tone for robust economic growth: India Inc on IIP data

India Inc on Wednesday cheered the encouraging October industrial production and said it sets the tone for a robust economic growth in the second half of the fiscal.

India's industrial output grew at an 11-month high of 8.1 per cent in October mainly on the back of mining, power and manufacturing sectors coupled with higher offtake of capital as well as consumer durable goods.

CII Director General Chandrajit Banerjee said IIP data augurs well for the narrative of economic strengthening, going forward.

"The uptick in manufacturing growth also shows that the second half has started off on a positive note and would hopefully set the tone and tenor for growth for the second half of the fiscal," Banerjee said.

Industry body Assocham said the strong growth performance of industrial activities in October is largely the result of strong domestic demand, exports and investment activities.

During the April-October period, industrial output grew 5.6 per cent as compared to 2.5 per cent in the same period of the previous fiscal.