BUSINESS

India's Industrial Output Shrinks 1.9% In October Dragged Down By Slowdown In Manufacturing

Economists surveyed by Reuters had forecast a 1.0 percent growth in output

09/12/2016 6:46 PM IST | Updated 09/12/2016 7:22 PM IST
Rupak De Chowdhuri / Reuters

India's industrial output, which is measured by the index of industrial production unexpectedly fell 1.9 percent in October from a year earlier, driven down by a contraction in manufacturing and mining sectors, government data showed on Friday.

Economists surveyed by Reuters had forecast a 1.0 percent growth in output compared with a 0.7 percent year-on-year rise in September.

According to official data released on Friday, the cumulative growth for the period April-October 2016 fell 0.3 per cent from the same period last year.

Industrial output for mining, manufacturing and electricity sectors fell by 1.1 percent, 2.4 per cent and 1.1 percent respectively over the year-ago period.

In terms of industries, twelve out of the twenty two industry groups in the manufacturing sector saw negative growth during the month of October 2016 compared to the same period last year.

Ther items that saw "high negative growth" included cable, rubber insulated, leather garments, steel structures, and aluminium wires and extrusions. Gems and jewellery declined by 1.77 at -0.1179.

CSO

With Reuters

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