NEW DELHI, APRIL 9: Industrial growth plummeted to 3.9 per cent during the first eleven months of 1998-99 from 6.9 per cent in the corresponding period previous year owing to a negative growth in mining and a slow down in the manufacturing sector.
In February alone, the mining sector slipped by a negative 7.8 per cent growth, thereby pulling down the overall industrial growth to 4.9 per cent for the month, according to quick estimates of Index of Industrial Production (IIP) released by the Central Statistical Organisation (CSO).
Even in terms of use-based industries slow down was evident in basic and consumer goods even though capital goods sector exhibited a buoyancy to record a 10.5 per cent growth during April-February period as compared to 6.3 per cent in the corresponding period of 1997-98.
During the eleven months period in review, manufacturing sector grew by 4.3 per cent against 7 per cent in April-February 1997-98, while mining sector recorded a negative 1.7 per cent growth as compared to 6.2per cent of previous year.
Electricity sector alone maintained more or less the same growth trend as witnessed during last year. The current period recorded a 6.4 per cent growth compared to 6.5 per cent of previous year.
Significantly, infrastructure industries in the country grew at a lower rate of 1.9 per cent in the first eleven months of the fiscal 1998-99 as against a rate of 5.7 per cent in the corresponding period of the fiscal 1997-98.
However, the electricity output recorded a growth of 6.5 per cent during April-January 1998-99 as against 6.2 per cent in the corresponding period in 1997-98, according to industry ministry figures.
The growth of manufacturing sector also declined to 3.5 per cent during April-January 1998-99 as against a seven per cent growth during the same period in 1997-98. The mining sector showed a negative growth of 1.2 per cent during the first ten months of last fiscal as against a 6.1 per cent growth during 1997-98.
It may be recalled that the industrial growthduring April-January stood at 3.3 per cent as against 6.9 per cent during the comparable months of 1997-98. The figures also revealed that the export of manufactured goods declined by 4.1 per cent during April-November 1998 as against 8.4 per cent growth during the corresponding period of the previous year.
In value terms, export of manufactured goods stood at $ 16.5 billion as against $ 17.25 billion during April-November 1997. Similarly, import of raw materials and intermediates (excluding precious and semi-precious stones) registered a negative growth of 7.58 per cent to $ 7.25 billion during April-November, 1998 as against a growth of 8.5 per cent (7.84 billion dollars) during April-November 1997.
Import of capital goods registered a growth of 6.9 per cent to 6.32 billion dollars in value terms during the period under review as against a negative growth of 3.8 per cent ($ 5.9 billion) during April-November 1997.