India’s IIP contracted 16.7% in March 2020 compared to a growth of 4.5% in Feb
Govt says data collection for IIP quick est for March hit by nation-wide lockdown. IIP estimate for March likely to undergo revision; will be incorporated in subsequent releases, govt says
The Index of Industrial Production (IIP) had grown by 2.7 percent in March, 2019.
According to the National Statistical Office (NSO) data, manufacturing sector output fell by 20.6 percent compared to a growth of 3.1 percent in the same month a year ago.
Electricity generation declined by 6.8 percent as against a growth of 2.2 percent in March 2019.
The mining sector output remained flat compared to a growth of 0.8 percent earlier.
Capital Goods declined by 35% compared to decline of 7%
Intermediary Goods shows decline of 18%
Durable Goods shows decline of 33%
The IIP in the last fiscal contracted by 0.7 percent from 3.8 percent expansion in 2018-19.
Quick Estimates of Index of Industrial Production (IIP) is released on 12th of every month (or previous working day) with a six weeks lag and compiled with data received from source agencies, who in turn receive the data from the producing factories/establishments. In view of the global COVID-19 pandemic and consequent nationwide lockdown measures implemented since March, 2020, the data flow from the producing units was impacted. As some of these units are yet to resume operations, the response rate has been lower than usual. Consequently, the Quick Estimates are likely to undergo revision and will be incorporated in subsequent releases as per the revision policy of IIP.
2. For the month of March 2020, the Quick Estimates of Index of Industrial Production (IIP) with base 2011-12 stands at 120.1.The Indices of Industrial Production for the Mining, Manufacturing and Electricity sectors for the month of March 2020 stand at 132.7, 114.8 and 149.2 respectively (Statement I).
3. As per Use-based classification, the indices stand at 135.6 for Primary Goods, 76.4 for Capital Goods, 125.8 for Intermediate Goods and 118.4for Infrastructure/ Construction Goods (Statement III) for the month of March 2020. Further, the indices for Consumer durables and Consumer non-durables stand at 88.1 and 131.2 respectively for the month of March 2020.
4. Statements giving Quick Estimates of the Index of Industrial Production at Sectoral, 2-digit level of National Industrial Classification (NIC-2008) and by Use-based classification for the month of March 2020, along with the growth rates over the corresponding month of the previous year including the cumulative indices are enclosed. Item group level information is not being disseminated.
5. Along with the Quick Estimates of IIP for the month of March 2020, the indices for February 2020 have undergone the first revision and those for December 2019 have undergone the final revision in the light of the updated data received from the source agencies. The Quick Estimates for March, 2020 have been compiled at a weighted response rate of 73 percent, the first revision for February, 2020 had a weighted response rate of 88 percent and the final revision for December, 2019 had a weighted response rate of 94 percent.