Factory production grows 10.4% in August

Industrial production grew by a whopping 10.4 per cent in August on the back of double-digit growth in mining, manufacturing and electricity sectors.

Factory production had expanded by 1.7 per cent in the same month last year.

The impact of stimulus measures was evident as manufacturing grew by 10.2 per cent, electricity by 10.6 per cent in August.

The mining sector clocked a robust growth of 12.9 per cent in the month under review.

The consumer durables sector, which showed negative growth for past many months, grew robustly by 22.3 per cent in August against a mere 3.9 per cent in the same month last year.

For the first five months of this fiscal, industrial growth stood at 5.8 per cent against 4.3 per cent in April-August year ago.

Industrial production for July was revised upwards to 7.2 per cent from 6.8 per cent estimated earlier.

Analysts said industrial growth is expected to be statistically higher in later part of this fiscal due to low-base effect as the factory growth slowed down considerably in the second half of the last fiscal due to the global slowdown.