The Ministry of Statistics & Programme Implementation has unveiled the index of industrial production (IIP) or factory output performance for June 2020. In the month under review, contraction in IIP has slowed down compared to the previous two months amid Coronavirus pandemic.
In June 2020, IIP has declined by 16.6% compared to a contraction of 33.8% and 57.6% recorded in May and April this year. Also, the index stands at 107.8 improving from 53.6 and 89.5 for April 2020 and May 2020.
For the latest month, the indices of IIP for Mining, Manufacturing and Electricity sectors stood at 85.4, 106.9 and 156.2 respectively.
As per Use-based classification, the indices stand at 109.2 for Primary Goods, 64.3 for Capital Goods, 102.2 for Intermediate Goods and 110.7 for Infrastructure/ Construction Goods for June 2020. Further, the indices for Consumer durables and Consumer non-durables stand at 77.4 and 157.3 respectively for June 2020.
On indices-basis, a major improvement was in the manufacturing segment which stood at 83.6 in May and 41.5 April 2020. Also, the electricity segment performed better against 150.6 and 125.5 levels seen in May and April.
Further, a major improvement was witnessed in capital goods which stood at 36.2 in May and 7.1 in April; followed by intermediate goods which were at 82.4 and 42.8 in May and April this year. Infrastructure/construction goods, consumer durables and consumer non-durables also recorded a huge rise in the latest month compared to the previous two.
While mining and primary goods saw gradual improvement.
The ministry in its notification on Tuesday said, “It may not be appropriate to compare the IIP in the post-pandemic months with the IIP for months preceding the COVID 19 pandemic.”
The Quick Estimates for June 2020 have been compiled at a weighted response rate of 88%the first revision for May 2020 at a weighted response rate of 91% and the final revision for March 2020 at a weighted response rate of 90%.
