The factory output, measured by movement in Index of Industrial Production (IIP), had slipped to 8-month low of (-) 2.49 (revised) in July on account of declining output in manufacturing and capital goods sectors. The capital goods output registered a steep decline of 22.2% in the month, against a growth rate of 21.3% in last year. Overall, consumer goods production recorded a growth 1.1% in August compared to 6% a year ago. In terms of industries, seven out of 22 industry groups in the manufacturing sector have shown negative growth during August year-on-year. Some important items showing high negative growth during the current month include cable, rubber insulated, sugar machinery, woollen carpets, gems and jewellery, and rice.

Source: Hindustan Times October 10, 2016 13:30 UTC