India's industrial output growth slows to 6.7% in September as mining contracts

India's industrial output growth decelerated to 6.7% in September, according to official data released on Wednesday, as manufacturing and electricity sectors experienced a slowdown, while output from the mining industry declined. Economists had anticipated a growth rate of 7.3% for September, with a revised growth of 7.8% in August.

Manufacturing output expanded by 7.6% year-on-year in September, down from the revised 8.6% growth in August. Electricity generation rose by 11.2% year-on-year in September, compared to an increase of 12.3% the month before. However, mining activity contracted by 6.2% year-on-year in September, compared to a revised decline of 4.6% in August.

Consumer durables, including cars and phones, saw a growth of 6% year-on-year in September, an improvement from the revised 10.5% increase in August. On the other hand, consumer non-durables, such as food items and toiletries, grew by 1.4% year-on-year in September, contrasting with a decline of 1.1% in the previous month. Meanwhile, output for capital goods increased by 10.4% year-on-year in September, compared to the revised 15.9% growth in August.

From April to September, industrial output expanded by 6.8%, which was lower than the 4.4% increase from the same period a year earlier.