Contraction in all major sectors such as manufacturing, mining and electricity on the back of Covid-19 outbreak lead to a plunge in India's factory production in April 2020.
Accordingly, the factory output plunged by a whopping (-) 55.5 on a YoY basis in April from a growth of 3.2 per cent during the corresponding period of the previous year.
Besides, the Ministry of Statistics & Programme Implementation revised March figures. The latest data showed a crash of (-) 18.32 per cent during March.
"In view of the preventive measures and announcement of nation-wide lockdown by the Government to contain spread of Covid-19 pandemic, majority of the industrial sector establishments were not operating from the end of March, 2020 onwards. This has had an impact on the items being produced by the establishments during the month of April, 2020, where a number of responding units have reported NIL production," the ministry said.
"Consequently, it is not appropriate to compare the IIP of April 2020 with earlier months and users may like to observe the changes in IIP in the following months. These Quick Estimates will undergo revision in subsequent releases as per the revision policy of IIP."