Robots weld the bodies of Honda Motor Co. Mobilio vehicles on the production line at the Honda Cars India Ltd. plant in Greater Noida. (Photographer: Udit Kulshrestha/Bloomberg)

India’s Industrial Output Grows 8.4% In November

India’s factory output rose at its fastest pace in 19 months driven by manufacturing growth.

The index of industrial production rose 8.4 percent in November compared to a year ago, data from the Central Statistics Office showed. A Bloomberg poll of economists had expected industrial production to grow at 4.4 percent on a year-on-year basis. The industrial output last rose faster than November in March 2016 at 9.8 percent, according to Bloomberg.

“Most high-frequency indicators such as manufacturing PMI and production of passenger and commercial vehicles registered an uptick in November,” said Morgan Stanley in a prior note.

The growth can also be attributed to a lower base in the year-ago period when Prime Minister Narendra Modi outlawed 86 percent of the currency in circulation, hurting demand.

India’s Industrial Output Grows 8.4% In November
  • Manufacturing output rose 10.2 percent over last year.
  • Electricity generation rose 3.9 percent year-on-year.
  • Mining output went up 1.1 percent over last year.
  • The production of primary goods rose 3.2 percent
  • Capital goods production grew 9.4 percent.
  • Infrastructure and construction goods saw a 13.5 percent increase in output.