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Manufacturing, capital goods taking toll on IIP

, December 13, 2011, 0 Comments

New Delhi, December 12, 2011 : India’s industrial output declined by 5.1 per cent in October, led mainly by sharp contraction in manufacturing, mining and abysmal performance in capital goods output. The Index of Industrial Production (IIP) had registered 11.3 per cent growth in October last year. The IIP had recorded 1.8 per cent growth in September 2011 and this has been revised to 2 per cent now. The latest industrial output data for October have now raised expectations that the Reserve Bank of India would reduce its policy rates at its upcoming review meeting on December 16. The Commerce, Industry and Textiles Minister, Mr Anand Sharma, will discuss with industry representatives on December 19 the issue of decline in industrial production.