The much-awaited new industrial production series with a more current list of items, earlier slated for launch this month, is likely to be pushed back by several months due to data collection problems at the Central Statistical Organisation (CSO).
The new series of Index of Industrial Production (IIP) was to include about 150 new items, while excluding obsolete ones wuch as loudspeakers, typewriters and video cassette recorders.
An official said: “The (new series) December data which was expected to come out on January 12 is now unlikely... The new series is also not expected in February either. Maybe in March... Not sure.”
Adding: “They have not even prepared the note for the Committee of Secretaries (CoS) so far.”
The CSO is responsible for collecting data for the IIP, as well as other national accounts like that for the gorss domestic product. The CoS needs to approve the new series, the official said.
The new series assumed significance as the data collection for IIP has been criticised. In its September 2010 mid-quarter review, the Reserve Bank of India had said, “The high volatility over the past two months (June and July) raises some doubts about how effectively the index reflects the underlying momentum in the industrial sector.”
RBI based its observation on data showing industry grew 5.8 per cent in June 2011 and 13.8 per cent in July.
The new series would be more representative and have more items in the re-jigged basket, the official said. Besides, it will have 2004-05 as the base year to reflect the industrial scenario better than that currently used (1993-94).