Here is everything an investor must know about IIP and how these number can affect Investments…
What is IIP Data?
- IIP data stands for Index of Industrial Production
- Measures the status of production in the industrial sector for a given period of time compared to a reference period of time
- Helps in measuring the level of industrial activity in the economy
- Includes mining, electricity, Manufacturing & General and excludes all kinds of services
- The base year for the index over the period of the analysis is 1993-94
- It is a short-term indicator of industrial growth
- One of the most important indicator to the Government for planning purposes
How is IIP Data formed?
The weightage of Indian IIP data is broadly divided into three segments
Mining & quarrying =14.15%
Manufacturing: It includes groups such as Food Products, Beverages, Tobacco and related products, Cotton Textiles etc.
Mining: Includes mining of coal, oil other metals etc
Electricity: Includes generation and transmission of electricity (from various sources like – thermal, hydro, solar etc)
Stock Market and IIP Numbers: Since India is a developing country every data on growth is vital for the financial markets analyst across the globe. Hence Indian stock markets are very keen and sensitive to IIP data as it can alter investment decisions of Individuals, Financial Institutions and FIIs.
When is IIP data published?
It is published every two months
Date can be anywhere between 11th to 14th of a month
Time is generally before noon
Who releases IIP Data?
The IIP data is computed and maintained by Ministry of statistics and programme implementation.
IIP historical data