IIP growth jumps to 8.4% in November 2017

Manufacturing sector's production surges at double digit pace of 10.2% in November 2017

India's industrial production (base year 2011-12=100) surged at 25-month high pace of 8.4% in November 2017 over November 2016, while showing a sharp acceleration in growth from the 2% increase in October 2017.

The manufacturing sector's production surged at record and double digit pace, for current base year 2011-12:100 data, of 10.2% in November 2017. The mining output growth also rebounded to 1.1% in November 2017, while snapping 0.1% decline in November 2017. Further, the electricity generation growth also improved to 3.9% in November 2017, contributing to the improvement in overall industrial production growth in November 2017.

The growth for October 2017 has been revised downwards to 2% from 2.2% reported earlier.

As per the use-based classification, primary goods output rose at higher pace of 3.2% in November 2017 over a year ago, while the output of capital goods surged 9.4% in November 2017. The output of intermediate goods galloped 5.5%. The output of Infrastructure/ construction goods zoomed 13.5%, while that of consumer non-durable durables spurt 23.1%. Further, the output consumer durable goods also increased 2.5% in November 2017 over November 2016, after showing decline for last two months.

In terms of industries, fifteen out of the twenty three industry groups in the manufacturing sector have shown positive growth during the month of November 2017 as compared to the corresponding month of the previous year. The industry group manufacture of pharmaceuticals, medicinal chemical and botanical products has shown the highest positive growth of 39.5% followed by 29.1% in manufacture of computer, electronic and optical products and 22.6% in manufacture of other transport equipment. On the other hand, the industry group other manufacturing has shown the highest negative growth of (-) 15.9% followed by (-) 13.1% in manufacture of wearing apparel and (-) 11.2% in manufacture of electrical equipment.

Some important item groups showing high positive growth during the current month over the same month in previous year include bodies of trucks, lorries and trailers 202.0%, digestive enzymes and antacids 110.7%, separators including decanter centrifuge 71.4%, axle 61.9%, stainless steel utensils 55.5%, sugar 46.4%, steroids and hormonal preparations including anti-fungal preparations 40.9%, hr coils and sheets of mild steel 37.2%, HR plates of mild steel 22.8% and two-wheelers motorcycles/ scooters 20.7%.

Some important item groups that have registered high negative growth include jewellery of gold (studded with stones or not) (-) 68.7%, anti-malarial drug (-) 66.4%, hand tools (-) 51.8%, plastic jars, bottles and containers (-)43.9%, printing machinery (-) 40.4%, electric heaters (-) 37.1%, purified terephthalic acid (-) 27.7%, bags/ pouches of hdpe/ ldpe (plastic) (-) 24.8%, plastic components of packing/ closing/ bottling articles & of electrical fittings (-) 23.0%, electrical apparatus for switching or protecting electrical circuits (-) 22.6%, readymade garments, knitted (-) 21.6%, generators / alternators (-) 21.6% and tooth paste (-) 20.2%.

The cumulative industrial production growth has eased to 3.2% in April-November 2017 compared with 5.5% growth in April-November 2016. The manufacturing sector growth has moderated sharply to 3.1% in April-November 2017 from 5.7% growth in the corresponding period last year. The electricity generation output also rose at moderated pace of 5.2% and mining output growth eased to 3% in April-November 2017.

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