Industrial production contracted by 1.6 percent in January, mainly due to poor showing by manufacturing and mining sectors, official data showed on Friday.

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As per the data, the contraction in the IIP in January was mainly on account of a decline in output of capital goods, manufacturing and mining sectors. The output of the manufacturing sector, which accounts for 77.6 percent of the IIP, contracted by 2 percent during the month under review, as against a growth of 1.8 percent during the corresponding month last fiscal.

The worst performance was witnessed in the capital goods sector which showed a contraction of 9.6 percent during January over a decline of 4.4 percent during the same month in the previous fiscal.

NSO also revised upwardly the IIP number for December 2020 to 1.56 percent from the earlier estimate of 1 percent. The factory output growth was in the negative territory in November 2020. It had posted an increase during September and October 2020.

(Edited by : Jomy)

First Published:Mar 12, 2021 6:00 PM IST