India’s industrial output grew by 4.1% in the month of March, which is considered the slowest growth in the last five months. The slowdown happened because factory production and power generation were weaker, according to government data. There are also concerns about the Middle East conflict affecting the energy supply.
Economists had expected growth of around 3.7%, while February’s growth was higher at revised 5.1%. Manufacturing growth eased to 4.3% and 5.9% in the previous month, and electricity generation rose just 0.8%, down from 2.3%. However, mining activities improved, rising 5.5% compared to 3.1% earlier.
Growth in consumer goods was mixed, with durable goods like cars and phones expanding 5.3%, slower than February’s 7.1%, while non-durable goods such as food and toiletries grew 1.1% after a decline in the previous month. Capital goods output remained strong, increasing 14.6% compared to 12.4% earlier.
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Overall, industrial output for the full financial year from April to March rose 4.1%, slightly higher than the 4% growth recorded a year ago.
