Industrial production increases11.9% in August

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India’s industrial production increased by 11.9% in August 2021, while the output of the manufacturing sector rose by 9.7% in August. According to the Index of Industrial Production (IIP) data released by the National Statistical Office (NSO) on Tuesday, output in mining and power generation increased by 23.6% and 16%. Back in August 2020, the IIP had contracted by 7.1%.

In the April to August period this year, IIP increased by 28.6%, as against a 25% contraction in the corresponding period last year.

Due to the Covid-19 pandemic in March 2020, industrial production had been hit, when it contracted by 18.7%.

The following month in April 2020, industrial production declined by 57.3% as economic activities had decreased in the wake of the lockdown imposed to curb the spread of the Covid-19 infections.

IIP in July increased by 10.5%

In July 2021, the industrial production inclined by 11.5% in July, with the manufacturing sector’s output inclined by 10.5% in July 2021.

The power generation rose 11.3%, and mining output also increased by 19.5% in July. In July 2020, the IIP had contracted 10.5%. The IIP also rose 34.1% during April-July, 2021.

In April-July 2020, it showed a contraction of 29.3%. Since the outbreak of Covid-19 in March 2020, industrial production has contracted 18.7%.

“The growth rates over corresponding period of previous year are to be interpreted considering the unusual circumstances on account of COVID-19 pandemic since March 2020,” NSO said in a statement.

The output of capital goods grew 29.5% in July 2021. It had witnessed a contraction of 22.8% in the year-ago period.

Consumer durables manufacturing increased 20.2% from a decline of 23.7% in July 2020. Consumer non-durable goods production fell 1.8% in July whereas it had grown 1.8% in the year-ago period.