India's Industrial Output Slows To Three-Month Low At 3.7% In June 2023

India's industrial output registered a growth of 3.7% in June 2023, below market expectations of 4.8% and slowing down to a three-month low. In the previous month, factory output stood at 5.3%.

As per the Ministry of Statistics & Programme Implementation, in June 2023, the quick estimates of the Iindex of Industrial Production (IIP) with base 2011-12 stands at 143.4.

It added the Indices of Industrial Production for the Mining, Manufacturing and Electricity sectors for the month of June 2023 stand at 122.3, 141.0 and 205.2 respectively.

As per Use-based classification, the indices stand at 146.6 for Primary Goods, 106.7 for Capital Goods, 153.2 for Intermediate Goods and 167.8 for Infrastructure/ Construction Goods for the month of June 2023. Further, the indices for Consumer durables and Consumer non-durables stand at 116.7 and 147.7 respectively for the month of June 2023.

In percentage terms, mining output stood at 7.6% in June 2023, while manufacturing output came in at 3.1% and electricity output at 4.2%.

So far in FY24, from April to June months, the overall country's industrial output stood at 4.5%. For the same, the output of mining, manufacturing, and electricity stood at 6.3%, 4.7%, and 1.3% respectively.

The ministry said, along with the Quick Estimates of IIP for the month of June 2023, the indices for May 2023 have undergone the first revision and those for March 2023 have undergone final revision in the light of the updated data received from the source agencies. The Quick Estimates for June 2023, the first revision for May 2023 and the final revision for March 2023 have been compiled at weighted response rates of 91%, 94% and 95% respectively.

Quick estimates of IIP are released on the 12th of every month (or the previous working day if the 12th is a holiday) with a six weeks lag and compiled with data received from source agencies, which in turn receive the data from the producing factories/ establishments.

The next release of IIP data for July 2023 will be on September 12, 2023.