SME Times News Bureau | 10 Feb, 2017
A month after the government went in for demonetisation, India's factory
output contracted by 0.4 percent in December, official data showed
on Friday.
The factory output, as per the Index of Industrial
Production (IIP), had risen by 5.7 percent in November, 2016. Earlier,
it encountered a 0.9 percent slide in the corresponding month of the
previous year.
As per the IIP data released by the Central
Statistics Office (CSO), the contraction was mainly on account of a 2
percent decline in manufacturing output, which has the maximum weight
in the overall index.
Manufacturing, which constitutes three-fourth of the index feel by 2 percent as compared to the 5.5 percent rise in November.
Electricity generation was up by 6.3 percent as against a 9 percent rise in November. Similarly, mining rose by 5.2 percent in December as against a 4 percent rise in the previous month.