India IIP data for August out, industrial production shrinks 0.8%

Industrial production in India fell 0.8 per cent in August, official data released on Wednesday showed. The fall was primarily owing to a decline in manufacturing and mining outputs.

The August Index of Industrial Production (IIP) numbers were an 18-month low. As per data, the previous low in IIP growth was a contraction of 3.2 per cent registered in February 2021.

In July 2022, the IIP had risen by 2.2 per cent. In August 2021, the IIP had risen by a hefty 13 per cent.


Output of the manufacturing sector shrank 0.7 per cent in August 2022 as against an 11.1 per cent growth recorded in the year-ago period, as per latest data from the National Statistical Office (NSO).

Mining output went down by 3.9 per cent. Power generation, on the other hand, was up 1.4 per cent during the month.

During April-August this year, IIP was up 7.7 per cent against 29 per cent growth in the same period a year ago.

Capital goods output, considered a barometer of investments, was up 5 per cent in August 2022, compared to 20 per cent growth in the same month a year earlier.

Consumer durables, on the other hand, fell 2.5 per cent from 11.1 per cent growth a year ago.

Primary goods, which make up nearly 34 per cent of the index, rose 1.7 per cent in August. In the same month a year ago, there was a 16.9 per cent growth in the segment.

Retail inflation data for September was also released today. It showed CPI jumped to 7.4 per cent during the month owing to a rise in food prices, particularly vegetable prices which soared by over 18 per cent.

The Food Price Index stood at 8.6% in September. Cereal inflation jumped 11.53% during the month.

Pre-data economist polls had already pegged CPI well over the 7-per cent mark in view of hardening food prices.