Industrial Production down to 5.4%

The Index of Industrial Production (IIP) for June 2008 slipped to 5.4%, year-on-year.Industrial growth has fallen from the double-digit levels seen early last year as tight monetary policy and a stronger rupee lowered demand. Manufacturing production was down to 5.9% against 9.7% last year and 3.9% in May.

India’s infrastructure sector output grew 3.4% in June from 5.2% a year earlier, and below May’s 3.5% annual growth.

Among other sectors, mining recorded a growth at 2.9%, consumer goods grew at 10%, electricity grew at 2.6% and capital goods grew at 5.6%

Meanwhile, the government has revised the May industrial growth figure to 4.1% against the provisional figure of 3.8% earlier.