Industrial growth in negative zone in Feb

Industrial production contracted by 1.2 per cent in February, compared to 9.5 per cent growth a year ago, despite stimulus packages announced by the government.

However, negative industrial growth at 0.5 per cent estimated provisionally for January was revised upwards to a positive 0.39 per cent.

Industrial production had contracted for the first time in 15 years in October, and then again in December. Industrial growth, as measured by the Index of Industrial Production, was pulled down by negative 1.4 per cent growth in manufacturing and negative growth of 1.6 per cent in mining.

Manufacturing constitutes around 80 per cent of the IIP. For the first 11 months of this fiscal, industrial growth stood at 2.8 per cent, compared to 8.8 per cent a year ago.

Consumer non-durable goods, intermediate and basic goods performed badly, recording negative growth in February.