Slump in industrial growth persists

By Our Special Correspondent

NEW DELHI, JUNE 12. The slump in industrial growth witnessed in the last fiscal has continued into this year as well. Data released by the Central Statistical Organisation (CSO) has shown that the index of industrial production (IIP) has grown just 2.7 per cent in April compared with a 6.5 per cent growth in April last year.

Sectoral data reveal that the mining sector grew 5.4 per cent this April against a 4 per cent growth in the same month last year but manufacturing was up only 2.7 per cent (7.1 per cent) in the same month last year. The electricity sector also notched a growth of 1.1 per cent (3.7 per cent) last year. The overall index, thus, grew 2.7 per cent against a 6.5 per cent growth in April 2000.

Use-based data released by the CSO show that basic goods production was up 2.4 per cent in April against a 5 per cent growth in April last year while capital goods production was down 1.8 per cent against a positive growth of 10 per cent in April last year.

Intermediate goods production was up 4.4 per cent (5.7 per cent) while consumer goods production was up 2.9 per cent (7.6 per cent). In this segment, consumer durables were up 7.7 per cent (16.6 per cent) while consumer non-durables were up 1.3 per cent only (5 per cent).

The CSO data also show that 12 out of the 17 two-digit industry groups recorded positive growth during April as compared to the same month last year.

Jute and other vegetable fibre textiles (except cotton) have shown the highest growth of 41.3 per cent, followed by 18.8 per cent in other manufacturing industries and 15.1 per cent in wool, silk and man-made fibre textiles.

On the other hand, metal products and parts, except machinery and equipment, have shown a negative production of 17.6 per cent, followed by a negative 4 per cent in case of wood and wood products, furniture and fixtures and a negative 2.9 per cent in case of textile products (except wearing material).

The CSO has also revised the indices for April-March 2000-01 to show that mining, manufacturing and electricity grew 3.6 per cent, 5.3 per cent and 4 per cent, taking the overall general index to a 5 per cent growth.

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Section  : Business
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