India's economic growth remains subdued at 4.7% in 2013-14

New Delhi: India's economic growth remained subdued at 4.7 per cent in 2013-14 and at 4.6 per cent in the fourth quarter of the financial year, mainly due to a decline in manufacturing and mining output. The country's economy, or gross domestic product (GDP), had expanded at 4.5 per cent in 2012-13, the slowest pace in the past decade.

Growth in 2013-14 was less than the Central Statistics Office's advance estimate of 4.9 per cent. The economy expanded 4.4 per cent in the fourth quarter (January-March) of 2012-13, according to official data released here today by the Central Statistics Office (CSO).

The manufacturing sector declined 1.4 per cent in the fourth quarter as against growth of 3 per cent a year ago and contracted 0.7 per cent in the financial year compared with growth of 1.1 per cent in 2012-13. Mining and quarrying contracted 0.4 per cent in the January-March quarter as against a decline of 4.8 per cent in the same period of 2012-13. During 2013-14, the sector's output shrank 1.4 per cent compared with a 2.2 per cent dip in production in 2012-13.

Farm output expanded 6.3 per cent in January-March compared with 1.6 per cent growth in same period of 2012-13. The agriculture sector grew 4.7 per cent in 2013-14 compared with 1.4 per cent in the previous financial year. Per capita net national income in real terms (at 2004-05 prices) in 2013-14 is estimated to have attained a level of Rs 39,904 compared with Rs 38,856 in 2012-13.

The growth in per capita income is estimated at 2.7 per cent during 2013-14 against 2.1 per cent during 2012-13. Per capita income at current prices during 2013-14 is estimated to have climbed to Rs 74,380 from Rs 67,839 in 2012-13, a rise of 9.6 per cent. Gross Fixed Capital Formation (GFCF), a barometer of investment at current prices, is estimated at Rs 32.11 lakh crore in 2013-14 as against Rs 30.72 lakh crore in 2012-13. At constant (2004-05) prices, GFCF is estimated at Rs 20 lakh crore in 2013-14 as against Rs 20.02 lakh crore in 2012-13.

According to the CSO data, the construction sector expanded 0.7 per cent in January-March as against 2.4 per cent in the year-ago period. During 2013-14, the sector grew 1.6 per cent compared with 1.1 per cent in 2012-13. Growth in the trade, hotels, transport and communications segment slowed to 3.9 per cent in the fourth quarter from 4.8 per cent in the same period of 2012-13. In the financial year, it grew at 3 per cent compared with 5.1 per cent in 2012-13.

The services sector, including financing, insurance and real estate, expanded 12.4 per cent in the January-March quarter as against 11.2 per cent a year earlier. The segment grew 12.9 per cent in 2013-14 compared with 10.9 per cent in previous financial year. The community, social and personal services segment grew 3.3 per cent in the last quarter of 2013-14 compared with 2.8 per cent in the corresponding period a year earlier.

During 2013-14, the segment grew 5.6 per cent compared with 5.3 per cent previously. Growth in electricity, gas and water supply was 7.2 per cent in Q4 compared with 0.9 per cent a year earlier and touched 5.9 per cent in 2013-14 compared with 2.3 per cent in the previous year.