For the week ending May 14, 2016, major data indicators were particularly weak as the Index of Industrial Production (IIP) showed barely visible growth, merchandise trade continued to sink and inflation based on the Consumer Price Index (CPI) showed an upward spike.
IIP grew by 0.1% on a year on year (yoy) basis in March 2016. Cumulatively for 2015-16, industrial growth now stands lower than that in the previous year. Industry, at least partly, continues to languish due to exceptionally weak global conditions.
Both exports and imports continued to shrink in April 2016. While merchandise exports are now at a level not witnessed since October 2010, imports are at a level not seen since January 2010. CPI inflation rose to 5.4% in April 2016, on account of rising food prices, which is worth noting since the latter is a continuous policy concern.
Other activity indicators, like indirect tax collections and the number of capital raising public issues show a positive trend, however, which bodes well for the economy. The Union Cabinet cleared the National Intellectual Property Rights Policy, which will be overseen by the Department of Industrial Policy and Promotion.