Industrial production entered positive territory after a gap of six months, mainly due to higher output in mining and power sectors, official data showed on Thursday.
The manufacturing sector - which constitutes 77.63 per cent of the index - recorded a marginal contraction of 0.6 per cent in September.
The output of mining and power segments grew at 1.4 per cent and 4.9 per cent, respectively.
The IIP had contracted by 4.6 per cent in September 2019.
The industrial production had witnessed a 5.2 per cent growth in February this year. Thereafter it recorded a contraction of 18.7 per cent in March, (-) 57.3 per cent in April, (-) 33.4 in May, (-) 16.6 in June and (-) 10.8 in July this year.
Meanwhile, the contraction in IIP for August has been revised to (-) 7.4 per cent from the (-) 8 per cent provisional data released last month.
The government had imposed a lockdown to contain the spread of COVID-19 infections on March 25 this year.
With the gradual relaxation of restrictions, there has been a relative improvement in the economic activities by varying degrees as well as in data reporting, the Ministry of Statistics and Programme Implementation said in a statement.
It may not be appropriate to compare the IIP in the post-pandemic months with the IIP for months preceding the COVID-19 pandemic, it added.
The manufacturing sector had recorded a decline of 4.3 per cent in September last year. Similarly, the mining sector output fell 8.6 per cent in September 2019. Power generation also shrank by 2.6 per cent a year ago.
The output of capital goods, which is a barometer of investment, fell by 3.3 per cent in September as against a contraction of 20.5 per cent earlier.
Consumer durables output grew by 2.8 per cent, as against a contraction of 10.5 per cent in September 2019.
Consumer non-durable goods production grew by 4.1 per cent, compared to a contraction of 1.1 per cent a year ago.
The IIP for the April-September period has contracted by 21.1 per cent, according to the data. It had registered a growth of 1.3 per cent during the same period last fiscal.
Dear Reader,
Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.
We, however, have a request.
As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.
Support quality journalism and subscribe to Business Standard.
Digital Editor
RECOMMENDED FOR YOU