Industrial production growth slipped to a seven-month low of 3.2 percent in May mainly due to sluggish performance of manufacturing and power sectors coupled with the poor offtake of fast moving consumer goods (FMCG).
Factory output growth measured in terms of the Index of Industrial Production (IIP) was revised down to 4.8 percent in April from previous estimates of 4.9 percent, according to the data released by the Central Statistics Office (CSO) 12 July 2018.
The IIP had expanded by 2.9 percent in May last year. The previous low of industrial production growth was 1.8 percent in October 2017. During April-May this fiscal, the IIP recorded a growth of 4.4 percent as compared to 3.1 percent in the same period year ago. The manufacturing sector, which constitutes 77.63 percent of the index, grew by just 2.8 percent in May, marginally up from 2.6 percent in the corresponding period last year.
The mining sector output recorded an impressive growth of 5.7 percent in May as against 0.3 percent in May last year. The FMCG sector was the worst performer among the user based goods segment, as its output declined by 2.6 percent as against a growth of 9.7 percent a year ago.
Industry group ‘manufacture of computer, electronic and optical products’ has shown the highest positive growth of 27 percent followed by 21.1 percent in ‘manufacture of motor vehicles, trailers and semi-trailers’ and 13.2 percent in ‘manufacture of furniture.