Nepal's industrial output increases in third quarter
Post Date: 17 Jun 2010 Viewed: 473
Despite lengthening political standoff and fragile law and order condition, country's industrial sector continued to demonstrate a moderate growth in the third quarter of the current fiscal year ending in mid-July, thanks to strong domestic demand.
According to Manufacturing Production Index (MPI) released by Central Bureau of Statistics, production of iron rods and galvanized pipes that carries the largest weight of 11.71 percent in Nepal's MPI, demonstrated a strong growth of almost 8 percent mainly due to strong performances of construction industry.
Demand for construction inputs was strong till the end of the third quarter because of construction boom, Pradeep Kumar Shrestha, managing director of Panchakanya Group, told Monday's myrepublica. com.
During the period, production of Nepal's two major export pillars carpet and garment remained pessimistic. The production of woolen carpet increased by 0.8 percent but the production of garment products dwindled further by almost 2 percent,according to MPI.
Among all the industrial products, manufacturing of plastic products that commands 5.74 percent weight in the MPI showed the strongest growth of almost 10 percent.
Manufacturing of furniture declined by 2.3 percent during the period, which was an improvement compared to the performances in the first and the second quarters.