Mumbai | Nov 12, 2015:

The Indices of Industrial Production for the Mining, Manufacturing and Electricity sectors for the month of September 2015 stand at 118.8, 186.7 and 195.7 respectively, with the corresponding growth rates of 3.0%, 2.6% and 11.4% as compared to September 2014 (Statement I). The cumulative growth in the three sectors during April-September 2015-16 over the corresponding period of 2014-15 has been 1.5%, 4.2% and 4.5% respectively.

The annual industrial output grew at a mere 3.6% in September as mining expanded at a lesser pace. It may be recalled that IIP was revised to 6.3% in August. Meanwhile, retail inflation rose to 5% in October on account of price rise in pulses.

The Quick Estimates of Index of Industrial Production (IIP) with base 2004-05 for the month of September 2015 have been released by the Central Statistics Office of the Ministry of Statistics and Programme Implementation.

The General Index for the month of September 2015 stands at 178.0, which is 3.6% higher as compared to the level in the month of September 2014. The cumulative growth for the period April-September 2015-16 over the corresponding period of the previous year stands at 4.0%.

The Indices of Industrial Production for the Mining, Manufacturing and Electricity sectors for the month of September 2015 stand at 118.8, 186.7 and 195.7 respectively, with the corresponding growth rates of 3.0%, 2.6% and 11.4% as compared to September 2014 (Statement I). The cumulative growth in the three sectors during April-September 2015-16 over the corresponding period of 2014-15 has been 1.5%, 4.2% and 4.5% respectively.

In terms of industries, eleven (11) out of the twenty two (22) industry groups ( as per 2-digit NIC-2004) in the manufacturing sector h ave shown positive growth during the month of September 2015 as compared to the corresponding month of the previous year. The industry group ‘Furniture; manufacturing n.e.c.’ has shown the highest positive growth of 69.9%, followed by 21.6% in ‘Electrical machinery & apparatus n.e.c.’ and 9.8% in ‘Chemicals and chemical products’. On the other hand, the industry group ‘Publishing, printing & reproduction of recorded media’ has shown the highest negative growth of (-) 13.3%, followed by (-) 12.8% in ‘Wearing apparel; dressing and dyeing of fur’ and (-) 12.8% in ‘Medical, precision & optical instruments, watches and clocks’.

As per Use-based classification, the growth rates in September 2015 over September 2014 are 4.0% in Basic goods, 10.5% in Capital goods and 2.1% in Intermediate goods (Statement III). The Consumer durables and Consumer non-durables have recorded growth of 8.4% and (-) 4.6% respectively, with the overall growth in Consumer goods being 0.6%.

Some of the important items showing high positive growth during the current month over the same month in previous year include ‘Gems and Jewellery’ (155.6%), ‘Single Super Phosphate (SSP)’ (86.5%), ‘Sugar Machinery’ (84.3%), ‘H R Sheets’ (46.1%), ‘Polypropylene (incl. co-polymer)’ (44.8%), ‘Cable, Rubber Insulated’ (37.4%), ‘Generator/ Alternator’ (36.7%), ‘Propylene’ (35.6%), ‘Ethylene’ (33.7%), ‘Aluminium wires & extrusions’ (25.0%), ‘Antibiotics & its Preparations’ (23.4%) and ‘Cigarettes’ (22.4%).

Some of the other important items showing high negative growth are: ‘Polythene Bags including HDPE & LDPE Bags’ [(-) 62.9%], ‘Woollen Carpets’ [(-) 58.5%], ‘Instant Food Mixes (Ready to eat)’ [(-) 47.0%], ‘Heat Exchangers’ [(-) 38.7%], ‘Ship Building & Repairs’ [(-) 29.7%], ‘Leather Garments’ [(-) 29.3%], ‘Furnace Oil’ [(-) 26.5%] and ‘Tractors (complete)’ [(-) 23.4%].

However, growth rates in respect of individual items may not reflect their actual contribution in the overall growth rate of IIP. Taking into account the weights of different items, the overall growth rate of IIP can be decomposed into positive and negative contributions of different items. Such contributions of top five items with positive contribution and top five items with negative contribution are given below:

Along with the Quick Estimates of IIP for the month of September 2015, the indices for August 2015 have undergone the first revision and those for June 2015 have undergone the final revision in the light of the updated data received from the source agencies. It may be noted that these revised indices (first revision) in respect of August 2015 shall undergo final (second) revision along with the release of IIP for the month of November 2015.

(Source: http://www.indiainfoline.com/)