Search the Internet          Tips  Sites: Finance, Investment

Manufacturing sector revives; IIP up 3.8% in May

Buoyed by a revival in the manufacturing sector, industrial production increased by 3.8 per cent in May this year compared to 1.7 per cent in the same month last year.

Manufacturing sector, which accounts for two-third weightage in the Index of Industrial Production, grew by 3.7 per cent compared to 1.8 per cent, the quick estimates of IIP released by Central Statistical Organisation said.

During the first two months of the current financial year (April-May), the industry grew by 3.8 per cent over 2.1 per cent growth registered in the corresponding period last year.

The recovery in the manufacturing sector is significant as this could lead to an overall industrial revival.

The mining sector also grew significantly at seven per cent during May compared to negative growth of 0.5 per cent in the same month last year.

The cumulative growth in the first two months stood at 5.6 per cent over 1.4 per cent in 2001-02.

Electricity sector, however, witnessed a decline to 2.4 per cent compared to three per cent during May while the 2-month growth was up at 3.8 per cent as against 2.2 per cent last year.

In the manufacturing sector, the recovery has come mainly in the basic goods and consumer non-durables categories.

Basic goods registered a growth of 4.7 per cent in May this year as against 1.3 per cent last year while the cumulative growth stood at 4.2 per cent and 2.6 per cent during first two months of this year and last year.

ALSO READ:
More Money Headlines