HindustanTimes Thu,25 Dec 2014

April industrial output zooms 17.6%

HT Correspondent, Hindustan Times  New Delhi, June 11, 2010
First Published: 22:23 IST(11/6/2010) | Last Updated: 22:27 IST(11/6/2010)

The country’s industrial output grew by 17.6 per cent in April, rekindling the debate whether the Reserve Bank of India (RBI) would increase interest rates during its policy review next month, as focus shifts towards inflation-control.

The manufacturing sector that accounts for 80 per cent of the index of industrial production (IIP) grew 19.4 per cent in April, as against 0.4 per cent a year-ago, according to official data released on Friday.

Capital goods production grew by 72.8 per cent against a contraction of 5.9 per cent a year -ago, reflecting higher investment by corporations as they expand capacities to meet rising demand.


Consumer durables output continued to grow at a fast pace of 37 per cent, mirroring higher purchase of goods such as televisions and refrigerators.

Finance Minister Pranab Mukherjee exuded confidence about a sustained turnaround in the industrial sector.

“My appetite is infinite. I would have been happier, if it was 20 per cent," Mukherjee told reporters.

“Capital goods (growth) I think, we are having it for quite some time", Mukherjee said.

All eyes are now on the RBI that will meet on July 27 and is expected to increase policy rates as focus shifts towards cooling inflation.

While food inflation has been hovering around 17 per cent, prices of manufactured goods have shown a steady increase in recent months.

more from Business

Ajay Singh-led group to invest $217 mn in SpiceJet

A consortium of investors led by SpiceJet co-founder Ajay Singh is likely to invest $217 million (Rs 1,378 crore) to pick a substantial stake in the embattled airline, sources told HT.
Most Popular
Copyright © 2014 HT Media Limited. All Rights Reserved