New Delhi, December 29 (IANS). India’s industrial growth rate has increased to 6.7 percent on an annual basis in November, which had declined to 0.4 percent in October due to festivals like Dussehra and Diwali. This information was given by the Statistics Ministry on Monday.
The reason for the strong industrial growth in November was the excellent performance of the manufacturing sector, which witnessed a growth rate of 8 percent. During this period, basic metal, fabricated metal products, pharma and motor vehicles have performed well.
The growth rate in the mining sector has also been strong at 5.4 percent. The reason for this is the end of monsoon season and increase in the production of iron ore. However, the performance of the power sector has been weak and the growth rate has been -1.5 percent.
In the manufacturing sector, 20 out of 23 industries have shown positive growth rates, which have seen the highest growth rates. In this, manufacturing of basic metal has shown a growth rate of 10.2 percent, manufacturing of petrochemicals, medical chemical and botanical products has shown a growth rate of 10.5 percent and manufacturing of motor vehicles, trailers and semi-trailers has shown a growth rate of 11.9 percent.
Steel is also included in the industry group “Manufacturing of Basic Metals”, which has contributed significantly to the growth.
The production of capital goods in November has increased by 10.4 percent compared to the same period last year.
Whenever the production of capital goods increases in an economy, it shows real investment in the economy, because these products are used in factories etc. This also increases job opportunities.
Due to big government projects being implemented in the highway, railway and port sectors, the infrastructure and construction sector has registered a strong growth of 12.1 percent this month as compared to the same month last year.
–IANS
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