GDP grows at 4.7% in October-December

The Indian economy is estimated to have grown at an annual rate of 4.7 per cent in the third quarter of the 2013-14 fiscal year, slightly lower than the 4.8 per cent growth recorded the previous quarter (July-September 2013-14), government data showed.

The country's gross national product (GDP) at factor cost at constant (2004-05) prices for Q3 of 2013-14 is estimated at Rs14,80,000 crore against Rs14,10,000 crore in Q3 of 2012-13, showing a growth rate of 4.7 per cent over the corresponding quarter of previous year. 

GDP at factor cost at current prices in Q3 of 2013-14 is estimated to have increased by 12.8 per cent to Rs27,70,000 crore from Rs24,60,000 crore in Q3 of 2012-13.

The estimates are based on the revised quarterly estimates and growth rates for 2011-12 and 2012-13 that have undergone revision on account of revision in annual estimates of 2011-12 and 2012-13.

However, the growth rates of Q1 and Q2 estimates of 2013-14 have not been revised and would undergo revision only at the time of the release of fourth quarter estimates. Provisional estimates for the year 2013-14 are due to be released on 31 May 2014, a government release stated.

During the October-December quarter of the 2013-14 financial year, sectors such as financing, insurance, real estate and business services (12.5 per cent), community, social and personal services (7.0 per cent), electricity, gas and water supply (5.0 per cent), trade, hotels, transport and communication (4.3 per cent) and agriculture, forestry and fishing (3.6 per cent) showed significant growth.

However, activities such as construction, mining and quarrying and manufacturing are estimated to have registered negative growth rates at (-) 0.6 per cent, (-) 1.6 per cent and (-) 1.9 per cent, respectively, during the period.

According to the second advance estimates of production of crops released on 14 February 2013, production of foodgrains during the Kharif season of 2013-14 is estimated to grow by 0.2 per cent over the corresponding season in the previous agriculture year. 

Among the commercial crops, the production of oilseeds is estimated to grow by 6.0 per cent during the Kharif season of 2013-14, while production of sugarcane and cotton is estimated to have grown by 1.4 per cent and 4.0 per cent, respectively, during the agriculture year 2013-14.

Among horticulture crops production of fruits and vegetables is expected to increase by 4.1 per cent during the year 2013-14 over the previous agriculture year.

According to the latest estimates of the index of industrial production (IIP), the index of mining, manufacturing and electricity, registered growth rates of (-)0.3 per cent, (-)2.0 per cent and 5.0 per cent, respectively, in Q3 of 2013-14, against growth rates of (-)3.0 per cent, 2.5 per cent and 4.4 per cent, respectively, in these sectors in Q3 of 2012-13. 

In the mining sector, production of coal and crude oil registered growth rates of (-) 0.7 per cent and 0.6 per cent in Q3 of 2013-14, against growth rates of 3.0 per cent and 0.4 per cent in Q3 of 2012-13.

The key indicators of construction sector, namely, cement production and finished steel consumption registered growth rates of 2.0 per cent and (-) 0.1 per cent, respectively, in Q3 of 2013-14.

In the service sector, the key indicators of railways, namely, net tonne kilometres and passenger kilometres have shown growth rates of (-)0.3 per cent and (-)1.7 per cent, respectively, in Q3 of 2013-14, against the growth rates of 0.1 per cent and 3.1 per cent in the corresponding period of the previous year.

In the transport and communication sectors, the sale of commercial vehicles, cargo handled at major ports, cargo handled by the civil aviation and passengers handled by the civil aviation registered growth rates of (-) 24.6 per cent, 0.9 per cent, 5.7 per cent and 7.8 per cent, respectively, in Q3 of 2013-14 over Q3 of 2012-13.

The key indicators of banking, namely, aggregate bank deposits and bank credits have shown growth rates of 15.9 per cent and 14.5 per cent, respectively, during April-December 2013-14 over the corresponding period in 2012-13.

The wholesale price indices (WPI) in respect of food articles, non-food articles, fish, minerals, manufactured products, electricity and all commodities, have risen by 17.2 per cent, 6.9 per cent, 17.0 per cent, 3.0 per cent, 2.8 per cent, 23.4 per cent  and 7.0 per cent, respectively, during Q3 of 2013-14 over Q3 of 2012-13.

The consumer price index for industrial workers (CPI-IW) has shown a rise of 10.6 per cent during Q3 of 2013-14 over Q3 of 2012-13.