The Hindu : Industrial growth dips to 2.7 p.c. in 2001-02

Online edition of India's National Newspaper
Saturday, May 11, 2002

Business

Business

Industrial growth dips to 2.7 p.c. in 2001-02

By Our Special Correspondent

NEW DELHI MAY 10. The dismal monthly industrial production performance during 2001-02 has finally ended the year with the overall annual performance (April-March 2001-02) showing a growth of just 2.7 per cent, a little over half of the 5 per cent growth registered during 2000-01.

The poor performance was reflected across all spectrums of the index of industrial production (IIP) with the mining sector growing only 1.8 per cent during 2001-02 against 3.7 per cent in the preceding year, manufacturing clocking only a 2.7 per cent growth against 5.3 per cent and electricity generation down to 3.1 per cent from 4 per cent.

Consequently, the overall index grew just 2.7 per cent during the last fiscal against a 5 per cent growth during 2000-01.

Data released by the Central Statistical Organisation (CSO) show that the IIP for March 2002 reflected a growth rate of 2.4 per cent against 2.3 per cent in March 2001. In this, mining was up 3 per cent against 1.3 per cent, manufacturing by 2 per cent against 2.6 per cent and electricity generation by 5.2 per cent against a low growth of 1.7 per cent.

Use-based data show that basic goods production was up 2.8 per cent during 2001-02 against 3.9 per cent in 2000-01, capital goods declined by 4 per cent against a positive growth of 1.8 per cent, intermediate goods grew by 1.5 per cent against 4.7 per cent and consumer goods by 5.8 per cent against 8 per cent. In this segment, consumer durables registered an increase of 11.6 per cent against 14.5 per cent while consumer non-durables were up 3.8 per cent against 5.8 per cent.

Data for March 2002 alone show that basic goods production was up 3.7 per cent against a negative 0.3 per cent in March 2001, capital goods declined by 1 per cent against a negative performance of 1.1 per cent, intermediate goods were down by 1.9 per cent against a positive growth of 6.7 per cent and consumer goods by 6.1 per cent against 2.6 per cent. In this segment, consumer durables were up 9.7 per cent against a drop of 0.2 per cent and consumer non-durables were up 4.9 per cent against 3.6 per cent.

As per the CSO data, nine out of the 17 two-digit industry groups have shown positive growth during March 2002 compared with the March 2001 performance. Beverages, tobacco and related products have shown the highest growth of 22.8 per cent followed by 11.8 per cent in transport equipment and parts and 6.9 per cent in paper and paper products and printing, publishing and allied industries as well as basic metal and alloy industries.

On the other hand, wood and wood products, furniture and fixtures have shown a decline of 13.1 per cent, followed by a 10.1 per cent drop in the case of jute and other vegetable fibre textiles (except cotton) and a decline of 8.8 per cent in other manufacturing industries.

Send this article to Friends by E-Mail

Business