Factory output surges 11.9 per cent in August

India’s Index of Industrial Output surged to 11.9 per cent in the month of August. This is an increase of 0.4 per cent from the previous month.

It grew on the back of a low base last year, when factory output was -7.6 per cent in August.

Mining output climbed 23.6 per cent in August. The manufacturing sector which influences 77.6% of the Index of Industrial Production grew by 9.7 per cent. Power generation also grew by 16 per cent.

During April-August this year, IIP grew 28.6 per cent against a 25 per cent contraction in the same period last year. Industrial production has been hit due to the coronavirus pandemic since March last year when it had contracted 18.7 per cent. The diminishing effects of the second wave of the Covid-19 pandemic have allowed the economy to reopen. This has allowed the manufacturing industry to pick up again, hence, showing a significant increase in its growth.