Factory output up 11.9% in Aug on low-base effect

New Delhi, October 12

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Industrial production grew 11.9% in August mainly due to a low-base effect and good performance by manufacturing, mining and power sectors that surpassed the pre-Covid level.

Power generation INCREASES 16% 

• The manufacturing sector, which constitutes 77.63% of the Index of Industrial Production (IIP), grew 9.7% in August
• The mining sector output rose 23.6% in August, while power generation increased 16%
• In August 2021, the IIP stood at 131.1 points compared to 117.2 points in the same month last year

Inflation eases to 4.35% in Sept 

• Retail inflation declined to 4.35% in September, mainly due to lower food prices, according to data released on Tuesday
• The inflation in food basket eased to 0.68% in September, significantly down from 3.11% in the preceding month

The manufacturing sector, which constitutes 77.63% of the Index of Industrial Production (IIP), grew 9.7% in August, according to the data released by the National Statistical Office (NSO) on Tuesday. The mining sector output rose 23.6% in August, while power generation increased 16%.

In August 2021, the IIP stood at 131.1 points compared to 117.2 points in the same month last year. The index stood at 126.2 points in August 2019, as per the NSO data.

The data showed that industrial production recovered and surpassed the pre-pandemic level of August 2019. The IIP had contracted by 7.1% in August 2020.

Industrial production plunged 18.7% in March last year following the Covid outbreak and remained in the negative zone till August 2020. — PTI