India’s factory output as measured by the Index of Industrial Production (IIP) hit a four-month high at 3.5 percent in July this year, according to government data released on Friday, August 29.
The data showed that the manufacturing sector registered a growth of 5.4 percent in July over the same month of the previous year. Electricity generation recorded a marginal 0.6 percent growth. However, the mining sector proved to be a laggard with a 7.2 percent contraction in output during the month due to the heavy monsoon rains which affected production. The infrastructure and construction sector clocked a double-digit surge of 11.9 percent year on year.
Production of capital goods, which comprise machines used in factories, went up by a robust five percent in July, while consumer durables such as refrigerators, air conditioners and TV sets increased by 7.7 percent during the month, the data showed.