Industrial production growth slumps to 0.6% in February

Industrial production in the country grew at a slow pace of 0.6 per cent in February 2013, down from the 2.4 per cent growth recorded in January 2013 amidst a steep decline in mining output and electricity generation.

The slackness in growth, which is in tune with a 0.5 per cent growth recorded in September 2012, comes on the back of a generally improved performance by the manufacturing sector.

The general index of industrial production (IIP) stood at 176.2, showing a growth of 0.6 per cent compared to the index for February 2013, which is 0.6 per cent higher as compared to the level in the month of February 2012.

Industrial production showed a cumulative growth of 0.9 per cent during April-February 2012-13 over the corresponding period of the previous year, official data released today showed.

The index of production in the mining, manufacturing and electricity sectors stood at 124.0, 190.9 and 140.5, respectively, in February 2013, with the corresponding growth rates of  (-) 8.1 per cent, 2.2 per cent and (-) 3.2 per cent compared to February 2012.

The three sectors showed cumulative growth rates of (-) 2.5 per cent, 1.0 per cent and 4.0 per cent, respectively, during April-February 2012-13 over the corresponding period of 2011-12.

Thirteen of the 22 industry groups in the manufacturing sector have shown positive growth during February 2013 compared to the corresponding month of the previous year.

The industry group 'electrical machinery and apparatus' has shown the highest positive growth of 73 per cent in February 2013, followed by 18.5 per cent in 'wearing apparel, dressing and dyeing of fur' and 12.6 per cent in 'luggage, handbags, saddlery, harness and footwear; tanning and dressing of leather products'.

On the other hand, the industry group 'medical, precision and optical instruments, watches and clocks' showed a negative growth of 27.6 per cent, followed by 25.6 per cent in 'publishing, printing and reproduction of recorded media' and 17.8 per cent in 'motor vehicles, trailers and semi-trailers'.

Basic goods production showed negative growth at (-) 1.8 per cent year-on-year in February 2013 while capital goods production rose as much as 9.5 per cent. Production of intermediate goods was down at (-) 0.7 per cent.

Production of consumer durables and consumer non-durables recorded growth rates of (-) 2.7 per cent and 2.9 per cent, respectively, with the overall growth in consumer goods being 0.5 per cent.

Industries that showed high positive growth during February 2013 included 'rubber-insulated cable (188.5 per cent), 'vitamins' (121.2 per cent), ship building and repairs' (105.4 per cent), 'cashew kernels' (83.4 per cent), 'aluminium conductor' (66.0 per cent), 'heat exchangers' (61.5 per cent 'generator/ alternator' (47.9 per cent) 'leather garments' (39.6per cent), and 'apparels' (16.0 per cent).

Important industries that showed high negative growth included 'machine tools' (-) 51.9 per cent, polythene bags, including HDPE and LDPE Bags' (-) 44.5 per cent, 'grinding wheels' (-)34.2 per cent, razor blades/ safety blades' (-) 32.6 per cent 'fasteners' (-) 27.6 per cent, 'biscuits' (-) 26.8 per cent, ','stampings and forgings' (-) 24.4 per cent, 'commercial vehicles' (-) 23.6 per cent, 'tractors (complete)' (-) 19.4 per cent and earth moving machinery' (-) 20 per cent.

Along with quick estimates for February 2013, the Central Statistics Office released revised figures for November 20123 as well.