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13 October 2017, 12:34 | Austin Hogan
Industrial production has made a remarkable growth at 4.3% defying slowdown from previous month’s 1.2
Showing signs of revival, industrial production expanded at its fastest pace in nine months in August at 4.3 per cent, while retail inflation stayed flat at 3.28 per cent in September.
Analysts polled by Reuters had expected September's CPI inflation rate would edge up to 3.60 per cent from August's downwardly revised 3.28 per cent.
On the retail inflation measured in terms of Consumer Price Index (CPI), Madan Sabnavis, Chief Economist, CARE Ratings Ltd, said in a statement that "inflation came down to 3.3% contrary to our own expectations of 3.9%". This was higher than the 4 per cent growth recorded in same month last fiscal.
IIP growth during April-August period of this fiscal stood at 2.2 per cent, down from 5.9 per cent in the same period in 2016-17.
The Central Statistics Office (CSO) which released the data on Thursday also revised the July IIP from 1.2 percent to 0.94 percent.
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Fuel inflation stood at 5.56 percent in September, while housing inflation stood at 6.10 per cent.
Looking at the growth of industries in manufacturing sector, at least 10 out of the 23 industry groups in the manufacturing sector have shown an uptick in growth for August.
The Index of Industrial Production (IIP) had registered a tepid growth of 1.2 per cent in July this year. She added, "Encouragingly, the sequential improvement in industrial growth in August 2017 was broad-based, led by all three sectors (mining, manufacturing and electricity) and five of the six use-based industries (except infrastructure/construction goods)".
The data revealed the overall food inflation moderated to 1.25 per cent in September from 1.67 per cent in the previous month.
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