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Resource centre on India's rural distress
 
 

Farming isn't doing as well as our GDP data suggests -Himanshu

-Livemint.com

Clearly, there is much more to GDP data than aggregate estimates.

The National Statistical Office (NSO) released estimates of gross domestic product (GDP) for the second quarter of this fiscal year on 30 November. Based on these, India’s GDP in the July-September quarter increased by 6.3% compared to last year, whereas the gross value added (GVA) during the same period increased by 5.6%; the manufacturing sector witnessed a contraction of 4.3%. This is disappointing, given that most analysts predict a downward revision of these estimates for the full fiscal year. Their expectation isn’t unfounded. Estimates of the index of industrial production (IIP) for October showed a contraction of 4% compared to last year, with manufacturing contracting by 5.6%. For the half year of April-September, manufacturing growth was at a negligible 0.1%.

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