6.8% Jan industrial growth indicates strong recovery: Pranab
Describing 6.8 percent industrial growth in January as an indication of strong recovery, Finance Minister Pranab Mukherjee on Monday said efforts will have to be made for promoting mining, capital goods and consumer durables sectors.
New Delhi: Describing 6.8 percent industrial growth in January as an indication of strong recovery, Finance Minister Pranab Mukherjee on Monday said efforts will have to be made for promoting mining, capital goods and consumer durables sectors.
"It (Index of Industrial Production-IIP) is 6.8 per in January. There is strong recovery in the backdrop of last December’s figure where IIP grew by 2.8 percent", he said, while commenting on the latest data of industrial production.
The sectoral analysis of the data, Mukherjee said, "show there is not much progress in capital goods, which is a matter of concern. Consumer non-durable had contributed substantially in this growth, but not so much in consumer durables. In course of time, efforts will have to be made to build up these areas."
The mining sector, he added, too has not done well and has reported contraction of 2.7 percent in January.
However, he said, "There is strong revival in growth rate of manufacturing sector at 8.5 percent in January 2012."
According to the data, industrial production grew 6.8 percent in January, mainly due to improvement in the manufacturing sector.
Output of the sector, which constitutes over 75 percent of the index, rose 8.5 percent in January, compared to 8.1 percent in the same month last year.
The capital goods sector, however, witnessed a contraction of 1.5 percent, as against a growth of 5.3 percent in the same month last year. Mining output too contracted by 2.7 percent in January, as against 1.7 percent growth in the year ago period.