India Industrial production surges in April after sustained rise

Since September 2009, India’s industrial growth has been above 10 percent. In April 2010, industrial production was almost 18 percent higher than a year ago and ahead of a Thomson Reuters forecast of 13 percent.

Machinery and equipment was the fastest growing industrial sector, at an incredible 55.6 percent growth from last year’s somewhat depressed level. But overall growth was broad-based according to India’s Central Statistical Office: manufacturing output grew 19.4 percent in April, mining grew 11.4 percent and electricity 6.0 percent. Capital goods output surged 72.8 percent, while production of consumer durables grew 37.0 percent.

The India Expert believes that the numbers for the balance of this year will be closer to 10-12 percent for industrial growth and perhaps 8-9 percent for the overall economy.