The Index of Industrial Production (IIP) in India witnessed a contraction of 0.1 percent in August which was 4.7 percent in the month of July, as per data released by the Ministry of Statistics and Programme Implementation on Friday. The estimates of IIP for August 2024 stood at 145.6 in comparison to 145.8 August 2023.

The three major components of IIP are mining, which registered a decline of 4.3 percent, electricity fell by 3.7 percent while manufacturing grew by 1.0 percent in August 2024. According to the data, the decline in the growth of Mining sector was due to heavy rainfall in the same month.

The corresponding growth rates of IIP as per Use-based classification data indicated that the capital goods segment grew 0.7 percent, intermediate goods 3.0 percent, construction goods 1.9 percent, and the consumer durables was 5.2 percent in August 2024 over same period last year. However, primary goods growth rate declined 2.6 percent and consumer non-durable contracted 4.5 percent.