India's industrial production grew in double digit for the second month in a row at 12.3 per cent in June mainly due to strong performance by manufacturing, power and mining sectors, according to official data released on Friday. However, the data showed that the industrial output growth is lower than 19.6 per cent recorded in May this year. It was 6.7 per cent in April.
Factory output expands
Factory output, measured in terms of the Index of Industrial Production (IIP), had expanded by 13.8 per cent in June 2021, the data showed. The manufacturing sector expanded by 12.5 per cent in June 2022 compared to 13.2 per cent recorded in the year-ago period, the data released by the Statistics and Programme Implementation Ministry showed.
The power sector showed a growth of 16.4 per cent as against 8.3 per cent a year ago, while the mining sector witnessed an expansion of 7.5 per cent in June 2022 compared to a 23.1 per cent growth last year. During April-June this year, IIP grew 12.7 per cent as against 44.4 per cent growth in the same period a year ago.
Capital goods output, which is a barometer of investment, rose by 26.1 per cent in June 2022 against 27.3 per cent in the year-ago month. The consumer durables segment grew by 23.8 per cent against 28 per cent a year ago.
The primary goods segment, which accounts for nearly 34 per cent of the index, expanded by 13.7 per cent in June compared to 12 per cent growth a year ago. The consumer non-durable segment grew by 2.9 per cent in June compared to a contraction of 3.9 per cent in the same month a year ago.
The ministry said the growth rates over the corresponding period of the previous year are to be interpreted considering the unusual circumstances on account of Covid-19 pandemic since March 2020.