India's industrial production growth slows to 1.4% in November
14 January 2022
India's factory output in November rose at a modest pace over a year ago despite a favourable base effect. Output fell compared to the preceding month. Industrial production based on the index of industrial production (IIP) slowed to 1.4 per cent in November 2021 compared to 4 per cent year-on-year in October.
On a month-on-month basis, the index fell 4.7 per cent in November as against a 5.0 per cent sequential rise in October.
This was the lowest pace of growth in nine months and has come after months of high growth, according to data released by the National Statistical Office (NSO).
In November 2021, output of all three sectors - manufacturing, mining, and electricity - grew at a slower pace on a year-on-year basis. Growth in mining output more than halved to 5.0 per cent, while manufacturing output rose by a mere 0.9 per cent.
In October 2021, production of the mining sector had increased 11.5 per cent while that of manufacturing had risen 3.1 per cent.
As per the use-based classification, all six categories saw a deterioration in their performance in November 2021. Production of primary goods rose 3.5 per cent year-on-year, down from 9.0 per cent in October 2021, while that of intermediate and infrastructure goods increased 2.5 per cent and 3.8 per cent, respectively.
In October 2021, output of intermediate goods had risen 3.8 per cent year-on-year. Infrastructure goods production had risen 6.6 per cent.