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Industrial production growth remained subdued at 1.9 per cent in March compared to a year ago, mainly due to poor performance by the manufacturing sector which showed staggered impact of the third wave of the pandemic. The IIP growth was 1.7 per cent in February and 1.3 per cent in January this year amid the third wave of COVID-19. Factory output measured in terms of Index of Industrial Production (IIP) had recorded a growth of 24.2 per cent in March 2021. For the month of March 2022, the Quick Estimates of IIP with base 2011-12 stood at 148.3. For the full fiscal 2021-22, IIP grew 11.3 per cent as against an 8.4 per cent contraction in 2020-21.

As per the data released by the Ministry of Statistics and Programme Implementation, the manufacturing sector, which makes up over three-fourths of the IIP, expanded by meagre 0.9 per cent, compared to a growth of 28.4 per cent in the year-ago period. The mining sector was 4 per cent in March 2022 against a growth of 6.1 per cent in the same month last year. Power sector showed a growth of 6.1 per cent compared to 22.5 per cent growth a year ago. The Indices of Industrial Production for the Mining, Manufacturing and Electricity sectors for the month of March 2022 stood at 144.6, 144.6 and 191.0 respectively.

Capital goods output, which is a barometer of investment, showed a growth of 0.7 per cent in March 2022 against a jump of 50.4 per cent in the year-ago month. The consumer durables segment was in the negative zone, showing a decline of 3.2 per cent against a growth of 59.9 per cent a year ago. However, the primary goods segment, which accounts for nearly 34 per cent of the index, expanded by 5.7 per cent in March compared to 7.9 per cent growth earlier. Intermediate goods and infrastructure/construction goods output was in the positive territory, while consumer non-durable segment contracted.