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India’s industrial production grows 8% in August; manufacturing up 9%


India's industrial production grows 8% in August; manufacturing up 9%
The Index of Industrial Production (IIP) recorded an index level of 123.3 in August, compared with 114.2 in the same month a year ago

NEW DELHI: India’s industrial production grew 8 per cent year-on-year in August 2026, accelerating from the revised 7.4 per cent growth recorded in July, according to data released by the Ministry of Statistics and Programme Implementation (MoSPI) on Monday.The Index of Industrial Production (IIP) recorded an index level of 123.3 in August, compared with 114.2 in the same month a year ago. The August numbers are quick estimates and are subject to revision in subsequent releases.The July IIP growth was revised upwards from the earlier provisional estimate of 6.7 per cent to 7.4 per cent.“In August 2026, Index of Industrial Production recorded an 8.0 per cent year-on-year growth, supported by 9.0 per cent growth in Manufacturing sector and strong growth of 12.3 per cent in Electricity & Gas Supply sector,” the National Statistics Office said in its release.Manufacturing, which has the largest weight in the IIP, grew 9 per cent in August. The sector has recorded growth of 8 per cent or more for three consecutive months, according to the ministry.Electricity and gas supply output rose 12.3 per cent during the month, while water supply, sewerage and waste management grew 6.3 per cent. Mining and quarrying, however, contracted 5.6 per cent in August.Within manufacturing, 18 of the 23 industry groups recorded positive growth in August compared with the same month last year.Manufacture of electrical equipment recorded the highest growth among the major contributing industry groups at 30.9 per cent, followed by other transport equipment at 25.3 per cent and motor vehicles, trailers and semi-trailers at 25.2 per cent.The ministry said growth in the motor vehicle segment was supported by auto components, spares and accessories, passenger cars and commercial vehicles. In electrical equipment, significant contributors included electrical apparatus used for switching or protecting electrical circuits, optical fibre and cable connectors, UPS and solid-state drives.In the other transport equipment segment, two-wheelers, railway rolling stock and parts, maintenance or service vehicles, and parts and accessories of motorcycles, mopeds and sidecars contributed to growth.Under the use-based classification, capital goods output grew 16.9 per cent in August, while intermediate goods rose 13.7 per cent. Consumer durables increased 11.1 per cent and infrastructure and construction goods grew 6.4 per cent.Primary goods recorded growth of 3.5 per cent, while consumer non-durables grew 2.1 per cent.The top three positive contributors to overall IIP growth in August were intermediate goods, capital goods and consumer durables, according to the government data.Cumulative industrial production growth during April-August 2026 stood at 6.7 per cent, compared with 4.2 per cent in the corresponding period a year earlier.The August quick estimates were compiled with an 88 per cent weighted response rate, while the July final estimates were based on a 93.4 per cent response rate.



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