RETAIL INFLATION EASES TO 4.29%, IIP GROWS 22.4%

NEW DELHI: Retail inflation measured by the consumer price index (CPI) eased to 4.29% in April due to declining food prices, government data showed on Wednesday.

It was 5.52% in March. The fall was largely due to a sharp decline in food inflation.

Consumer food price index inflation dropped to 2.02% in April from 4.87% in March, said a statement issued by the Ministry of Statistics and Programme Implementation.

Meanwhile, factory output measured in terms of index of industrial production (IIP) witnessed a 22.4% growth in March.

The jump was attributed to manufacturing sector, which witnessed output increase by 25.8%. However, this was on a low base as in March last year the country began its cycle of nationwide lockdowns.

Low base effect from last year's nationwide lockdown powered the growth of India's industrial output in March.

The Index of Industrial Production (IIP) for March accelerated by 22.4% over the same month a year ago and a contraction of 3.4% reported for February.

On a fiscal basis, the IIP contracted by (-) 8.6% in FY21 from ()0.8% during the April-March period of the previous financial year.

"For the month of March 2021, the Quick Estimates of IIP with base 2011-12 stands at 143.4," the Ministry of Statistics and Programme Implementation said.

"The Indices of Industrial Production for the Mining, Manufacturing and Electricity sectors for the month of March 2021 stand at 139, 140.4 and 180 respectively."

Among the major segments, manufacturing production rose by 25.8% from a fall of (-) 22.8% reported for the corresponding month of 2020.

Similarly, mining output grew 6.1% on a YoY basis from (-) 1.3% during the like period of the previous year.