Signs of revival as IIP grows at 2.5 % in March

Industrial production in the country picked up momentum towards the end of the 2012-13 fiscal, growing at 2.5 per cent year-on-year in March gaining from improved performance by the manufacturing and electricity sectors, against the slow-paced growth of 0.6 per cent in February 2013.

A general slackness in growth, however, was still evident as intermediate goods and consumer durable industries registered negative growth during March 2013.

For the full fiscal (April-March 2012-13) the index of industrial production (IIP) showed a cumulative growth of 1 per cent over corresponding period of the previous year.

The general index for March 2013 stood at 192.3, which was 2.5 per cent higher compared to the level in March 2012, quick estimates of industrial production released by the Central Statistics Office (CSO) showed.

Production in the mining sector registered a negative growth of (-) 2.9 per cent during March 2013 while manufacturing sector grew at 3.2 per cent and the electricity sector expanded at 3.5 per cent.

Production indices for the three sectors stood at 145.3, 205.0 and 164.2, respectively, during march 2013.

The three sectors showed cumulative growth rates of (-) 2.5 per cent, 1.2 per cent and 4.0 per cent, respectively during April-March 2012-13 over the corresponding period of 2011-12.

Ten out of the 22 industry groups in the manufacturing sector showed positive growth during March 2013 compared to the corresponding month of the previous year.

The industry group 'wearing apparel, dressing and dyeing of fur' showed the highest positive growth of 152.3 per cent during the month, followed by 'electrical machinery and apparatus' (64.6 per cent) and 'medical, precision and optical instruments, watches and clocks' (37.7 per cent).

On the other hand, the industry group 'publishing, printing and reproduction of recorded media' showed a negative growth of 23.2 per cent, followed 'office, accounting and computing machinery' (22.0 per cent) and 'fabricated metal products, except machinery and equipment' and 'other transport equipment' 11.4 per cent each.

Production of basic goods rose 2.6 per cent in March 2013 and capital goods production was up 6.9 per cent while production of intermediate goods grew at a negative (-) 0.2 per cent.
 
Consumer durables and consumer non-durables sectors have shown growth rates of (-) 4.5 per cent and 6.5 per cent, respectively, while the overall growth in consumer goods stood at 1.6 per cent.

Some of the important items showing high positive growth during March 2013 included cigarettes, production of which grew 28.4 per cent, woolen carpets whose production rose 83.1 per cent, apparels production which grew 175 per cent, leather garments production (up 49.9 per cent), aviation turbine fuel (33.1 per cent), propylene (29.6 per cent), ethylene (40.3 per cent), room air-conditioner (37.9 per cent), aluminium conductor (45 per cent) and rubber-insulated cable (247.3 per cent).

Some of the important items showing high negative growth included synthetic yarn (-) 24.8 per cent, terry towel (-) 22.9 per cent, razor blades/safety blades (-) 29.4 per cent, fasteners  (-) 27.2 per cent, heat exchangers (-) 27.2 per cent, sugar machinery (-) 64.6 per cent, plastic machinery (including moulding machinery (-) 22.5 per cent and shipbuilding and repairs (-) 30.3 per cent.

The CSO, meanwhile, released revised IIP figures for February (first revision) and December 2012 (final revision).