industrial-production-grows-3-8-in-december-2023

India's industrial production grew 3.8 per cent in December 2023, according to official data released on Monday. Factory output measured in terms of the Index of Industrial Production (IIP) had witnessed a growth of 5.1 per cent in December 2022.”India’s Index of Industrial Production grows by 3.8 per cent in December 2023,” an official statement said.

The data released by the National Statistical Office (NSO) showed that the manufacturing sector’s output grew 3.9 per cent in December 2023, up from 3.6 per cent in the year-ago month.

In December last year, the mining production rose 5.1 per cent and power output increased 1.2 per cent.IIP grew 6.1 per cent during the April-December 2023 period compared to a 5.5 per cent expansion in the year-ago period.

"Consumer goods - both durable and non-durable - have registered positive growth rates which are good signs," Madan Sabnavis, an economist at Bank of Baroda said.

During the month, consumer durables grew 4.8 per cent, while consumer non-durables grew at 2.1 per cent. 

Electricity generation in December was up 1.2 per cent, slower than 10.4 per cent growth in the corresponding month a year earlier. Mining activities increased by 5.1 per cent, compared to a 10.1 per cent rise in the same month a year earlier, the data showed.

Industrial output in the first nine months of the fiscal year that started in April was up 6.1 per cent from the same period a year earlier. 

Aditi Nayar, chief economist at ICRA, said she anticipates a modest rise in the industrial output growth to 4-6 per cent in January.

In November, the IIP growth had declined to 2.4 per cent from 11.7 per cent in October, according to government data. The industrial production growth decelerated mainly due to poor showing by the manufacturing sector.