InvestorQ : Can you tell me about the products that saw positive and negative IIP growth in the latest month?
Aditi Sharma made post

Can you tell me about the products that saw positive and negative IIP growth in the latest month?

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Mahima Roy answered.
2 months ago
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While the IIP growth of 12.3% for June 2022 is impressive, it would add more value to look at what contributed to the growth and the de-growth in the IIP. There were just 2 products in the overall basket that saw negative IIP growth in June 2022. The first was Pharma & botanical products which saw de-growth of -4.1%. Secondly, the manufacture of textiles saw de-growth of -3% in June 2022 and this is largely on account of export constraints.

Let me now turn to the positive contributors to the IIP basket. In June 2022, Tobacco products grew at +52.8%, beverages at +44.8%, computers and electronics at +44%, apparel at +32%, motor vehicles +31.2%, transport equipment at +30.2% and furniture at +27.7%. However, if you take a cumulative view for the first 3 months of FY23, then all the products in the basket, apart from pharma products, showed positive growth.

One more way to look at the break up of IIP is from a user industry perspective. To sum it up, capital goods grew 26.1% and consumer durables grew by 23.8%. Among the remaining user groups, infrastructure grew 8.0%, intermediate goods at a sedate 11.0% and primary goods at 13.1%. the most tepid user group was consumer non-durables, which showed very tepid growth at just 2.9% for June 2022.

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