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Consider the following statements regarding the Index of Industrial Production.
1. It is compiled and published by NITI Aayog.
2. Mining, manufacturing, and electricity are the three broad sectors in which IIP constituents fall.
Which among the above statements is/are correct?
  • a)
    1 only
  • b)
    2 only
  • c)
    Both 1 and 2
  • d)
    Neither 1 nor 2
Correct answer is option 'B'. Can you explain this answer?
Verified Answer
Consider the following statements regarding the Index of Industrial P...
The correct answer is 2 only.
In news
  • IIP turns positive in December, grows by 1% after a temporary blip in November.
Key-Points
  • The IIP data is compiled and published by the Central Statistical Organisation that operates under the Ministry of Statistics and Programme Implementation (MoSPI). Hence, statement 1 is not correct.
  • The Index of Industrial Production is an index that tracks manufacturing activity in different sectors of an economy.
  • The IIP number measures the industrial production for the period under review, usually a month, as against the reference period.
  • Mining, manufacturing, and electricity are the three broad sectors in which IIP constituents fall. Hence, statement 2 is correct.
The eight core industries that comprise about 40 percent of the weight of items included in the Index of Industrial Production-
  • Electricity
  • crude oil
  • coal
  • cement
  • steel
  • refinery products
  • natural gas
  • fertilizers
The current base year of the index is 2011-12=100.
The Index of Industrial Production (IIP) for the month of December turned positive. It showed an expansion of 1 percent, primarily led by basic metals, pharmaceutical, petrochemical products, and overall positive growth in the manufacturing sector.
This comes after IIP had contracted by 1.9 percent in November. It had expanded in October and September after six straight months of contraction due to COVID-19.
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Consider the following statements regarding the Index of Industrial Production.1. It is compiled and published by NITI Aayog.2. Mining, manufacturing, and electricity are the three broad sectors in which IIP constituents fall.Which among the above statements is/are correct?a)1 onlyb)2 onlyc)Both 1 and 2d)Neither 1 nor 2Correct answer is option 'B'. Can you explain this answer?
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