India's Aug industrial output jumps 8% as manufacturing output surges

NEW DELHI: India’s industrial output grew at a stronger-than-expected pace of 8% in August, government data showed on Monday, boosted by a surge in manufacturing and electricity output even as mining output contracted.

Economists polled by Reuters expected industrial output growth at 6.5% in August from a revised 7.4% a month earlier.

“In a record performance, manfuacturing recorded growth of 8% or more in the last three consecutive months,” the statistics ministry said in an official statement.

The government now uses producer prices for factory output calculation as against wholesale prices earlier, a change introduced earlier this year.

Manufacturing output grew 9% year-on-year in August against a revised 8.2% in July.

India’s July industrial output growth slows to 6.7% y/y as mining contracts

Electricity generation rose 12.3% year-on-year in August against an increase of 8.7% a month earlier.

Mining activity fell 5.6% year-on-year in August against a decline of 0.9% in July.

Output of consumer durables, including cars and phones, grew 11.1% year-on-year in August against a revised 12% increase a month earlier.

Output of consumer non-durables, such as food items and toiletries, rose 2.1% year-on-year in August against a revised fall of 0.8% in the previous month.

Capital goods output rose 16.9% year-on-year in August against a revised 19% increase in July.

Industrial output between April-August grew 6.7%, compared to an increase of 4.2% a year earlier.