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The Ministry of Statistics and Programme Implementation in its latest data has showed that industrial production of India, measured in terms of the Index of Industrial Production (IIP), contracted by 4 per cent in October 2022, mainly due to a decline in the manufacturing sector output and subdued growth in mining and power generation. With output growing by 3.5 per cent in September, the industry growth has turned back to negative after a gap of only one month. In August industrial production decreased by 0.7 per cent. The IIP had grown 4.2 per cent in October 2021. For the month of October 2022, the Quick Estimates of Index of Industrial Production (IIP) with base 2011-12 stood at 129.6.

As per the data, manufacturing output, which accounts for 77.6 per cent of the weight of the IIP, contracted 5.6 per cent in October as against 3.3 per cent growth in the previous year. The mining output rose by a meagre 2.5 per cent and power generation increased by 1.2 per cent during the month. The Indices of Industrial Production for the Mining, Manufacturing and Electricity sectors for the month of October 2022 stood at 112.5, 128.7 and 169.3 respectively.

A contraction was recorded for capital goods output - a proxy for investment sentiment - after a gap of nine months at (-) 2.3 per cent. Consumer durables and consumer non-durables output - an indicator of fast-moving consumer goods - also continued to be in negative territory at (-) 15.3 per cent and (-) 13.4 per cent, respectively. As per Use-based classification, the indices stood at 131.1 for Primary Goods, 87.7 for Capital Goods, 143.1 for Intermediate Goods and 155.1 for Infrastructure/ Construction Goods for the month of October 2022. Further, the indices for Consumer durables and Consumer non-durables stood at 109.7 and 129.6 respectively for the month of October 2022.