Industrial output soared by 10.8% year on year in October as demand for consumer durables (such as cars and electronic goods) and power equipment picked up. The jump followed a slide in annual industrial production growth in August-September. The government has said that it expects industrial output growth to be in double digits in 2010/11 as a whole. In April-October factory output (as measured by the industrial production index) was up by 10.3% year on year.

Manufacturing sector output grew by 11.3% year on year in October (compared with 10.8% a year earlier), while electricity production jumped by 8.8% (compared with 4% in October 2009). Mining output growth, however, slowed to 6.5%, from 9.1% in October 2009. Output of capital goods surged by 22% in October, up from 10.9 % in the same month in 2009. The data were in line with a gauge of six major industries which showed that activity was up by 7% year on year, a seven-month high, in October. The performance of the six core industries-crude oil production, petroleum refining, coal, electricity, cement and finished steel-is considered an advance indicator of industrial activity. The strong overall performance was driven by a 16.8% increase in cement output and a 6.2% rise in production of finished steel.