Industrial output expands 3.1% in September on base effect, festivals
Economists, however, struck a note of caution in view of softening urban demand.
«There is improvement in the numbers, but IIP is extremely volatile,» said Gaura Sen Gupta, chief economist at IDFC First Bank.
Excluding August performance, the September output growth was at a nine-month low. It had increased by 6.4% in September 2023.
For the quarter ended September, IIP growth was at a seven-quarter low of 2.6% due to high base effect and weather vagaries. The growth was 4% in the first half of the current financial year, down from 6.2% in the corresponding period last year.
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