Prior the decision, crude oil, petroleum refinery cement, electricity, finished steel and coal were six basic sectors where in the government performance was evaluated. The evaluation was carried on a monthly basis. Post the decision, the evaluation would be done for eight key factors. The series for the eight key factors would be released on June 10.
With the release of the series of the eight key factors, government would also be releasing a new index that would be used to measure the factory output. Further, changes would be also announced in terms of base year which would be changed from 1993-94 to 2004-05.
The change in the base year, is expected to work as additional beneficial factor for the policy makers and market participants. The series is suspect to follow like measures applicable for computation of Wholesale Price Index (WPI) and IIP.
The new WPI series, which was changed in accordance to the change in base year to 2004-05 included addition of 241 items to the already existing 435 items.