India’s industrial production growth decelerated to a three-month low of 3.2% in December 2024, largely due to underperformance in the mining and manufacturing sectors, as revealed by official data on Wednesday.
The government also revised November 2024’s industrial output to 5% from the earlier estimate of 5.2%. Factory output grew at a similar pace of 3.2% in September and remained stagnant in August 2024, recording a growth of 3.7% in October 2024.
Measured by the Index of Industrial Production (IIP), the country’s factory output had grown 4.4% in December 2023. According to an official statement, the IIP rose 3.2% in December 2024.
The National Statistical Office (NSO) data highlighted that manufacturing sector output grew by 3% in December 2024, down from 4.6% in the same month last year. Mining production growth decreased to 2.6% from 5.2% year-on-year, while power output surged to 6.2% in December 2024 from 1.2% a year ago.
In the April-December 2024 period, the IIP grew by 4%, slowing down from the 6.3% growth recorded in the same period the previous year.
As for use-based classification, the capital goods segment growth accelerated to 10.3% in December 2024, compared to 3.7% in the same month last year. Consumer durables production increased by 8.3% during December 2024, up from 5.2% in December 2023.
However, consumer non-durables output contracted by 7.6% in December 2024, compared to a 3% growth in December 2023. Infrastructure and construction goods reported a 6.3% growth in December 2024, rising from a 5.5% expansion the previous year.
Primary goods output logged a 3.8% growth in December 2024 against 4.8% a year earlier. The intermediate goods segment saw an increase of 5.9% in the reviewed month, higher than the 3.7% growth recorded a year ago.
