IIP grows 3.6% in Oct, touches 8-month high on consumer goods, electricity

Signalling an economic upsurge, India’s industrial activity touched an eight-month high in October, posting growth for a second straight month, led by significant expansion in consumer goods, electricity, and infrastructure goods, the official data showed on Friday. The revival was aided by festival season demand and a low base of last year, which may not be sustainable, cautioned economists.

The Index of Industrial Production (IIP) grew by 3.6 per cent in October on a year-on-year (YoY) basis compared to a 0.4 per cent expansion in the previous month, the data released by the National Statistical Office showed. The IIP had contracted by 6.6 per cent in the corresponding period of last year. Industrial activity had turned positive in September after a gap of six months.