Factory output, which showed some signs of recovery after recording a growth of 2.8 percent in July, remained almost flat year-on-year because of a slump in production of consumer goods and durables. (Agencies)
The output, measured on the Index of Industrial Production (IIP), was 2 percent in August last year.
As per the data released by the government today, IIP for April-August worked out to be 0.1 percent compared with 0.2 percent in the same period of 2012-13 financial year.
The IIP figure for July has been revised upward at 2.8 percent from 2.6 percent, it said. It had contracted by 1.8 percent in June.
The manufacturing sector, which constitutes over 75 percent of the index, contracted by 0.1 percent in August as against an expansion of 2.4 percent in the year-ago period.
During April-August, the sector saw a decline of 0.1 percent compared with a flat growth in the same period last year.
The mining sector, with a weight of about 14 percent in the IIP, showed a contraction of 0.2 percent in August as against a decline of 0.3 percent in the same month last fiscal.
However, power generation showed a healthy growth of 7.2 percent in the month under review. The growth works out at 4.5 percent in April-August period.
As per the data, output of capital goods, a barometer of demand, showed a decline of 2 percent as against a contraction of 4.4 percent in August 2012. However, on cumulative basis, the segment showed an expansion of 0.8 percent in April-August as against a sharp contraction of 14.4 percent.
The data further revealed that consumer durables segment contracted by 7.6 percent in August, while the decline in consumer goods segment was 0.8 percent.
The growth in consumer non-durables sector was 5 percent as against 6 percent in the year-ago period. During April- August, the growth cumulates to 6.6 percent.
Intermediate goods segment expanded at a rate of 3.6 percent and basic good at a rate of 1.5 percent in August.
Giving further details, the data showed there was contraction in host of segments, including food products and beverages, wood and its products, basic metals, fabricated metal products and machinery and equipment.
There were expectations that the industrial production (IIP) would be better in the backdrop of the eight infrastructure industries posting a 7-month high growth rate of 3.7 percent in August.
These eight industries have a weight of about 38 percent in the IIP.
Factory output, which showed some signs of recovery after recording a growth of 2.8 percent in July, remained almost flat year-on-year because of a slump in production of consumer goods and durables.