IIP for Jan at 2.4%; beats estimates

Business

oi-Sunil

By Sunil Fernandes

Published: Tuesday, March 12, 2013, 11:19 [IST]

The Index for Industrial Production (IIP) for January 2013 has come in at a better than expected 2.4 per cent, beating most forecasts which ranged between 1-1.5 per cent.

Manufacturing production saw a growth of 2.7 per cent vs 0.7 per cent, month on month. Consumer goods production came in at 2.8 per cent vs 4.2 per cent month on month. December IIP has been revised at

In terms of industries, eleven (11) out of the twenty two (22) industry groups (as per 2-digit NIC-2004) in the manufacturing sector have shown positive growth during the month of January 2013 as compared to the corresponding month of the previous year. The industry group ‘Electrical machinery and apparatus n.e.c.' has shown the highest positive growth of 46.7 per cent, followed by 19.8 per cent in ‘Tobacco Products' and 18.1 per cent in ‘Wearing apparel; dressing and dyeing of fur'. On the other hand, the industry group ‘Medical, precision & optical instruments, watches and clocks' has shown a negative growth of 24.5 per cent followed by 22.8 per cent in ‘Publishing, printing and reproduction of recorded media' and 16.5 per cent in ‘Wood and products of wood and cork except furniture; articles of straw and planting materials'.

Some of the important items showing high positive growth during the current month over the same month in previous year include ‘Leather Garments' (73.0 per cent), ‘Antibiotics and its preparations' (18.8 per cent), ‘Vitamins' (100.7 per cent), ‘Carbon Steel' (25.3 per cent), ‘CR Sheets' (62.4 per cent), ‘Pressure Cooker' (29.5 per cent) ‘Air Conditioner (Room)' (31.6 per cent), ‘Conductor, Aluminium' (71.3 per cebnt) and ‘Cable, Rubber Insulated' (140.1 per cent).

The encouraging IIP data now confirms the belief of a turnaround in manufacturing activity in the economy.

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