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Q33 (CDS-II/2020) Economy › Industry, Infrastructure & Investment › Industrial growth trends Answer Verified

As per the use- based classification of the Index of Industrial Production (IIP), the maximum weight has been assigned to __________.

Result
Your answer: —  Â·  Correct: A
Explanation

The Index of Industrial Production (IIP) in India uses two types of classifications: sectoral and use-based. Under the sectoral classification, the manufacturing sector holds the highest weight at approximately 77.6% [2]. However, under the use-based classification (with the current base year 2011-12), the 'Primary Goods' category is assigned the maximum weight, accounting for 34.05% of the total index [1]. Other categories in this classification include intermediate goods (17.22%), consumer non-durables (12.83%), infrastructure/construction goods (12.34%), capital goods (8.22%), and consumer durables (12.84%). Primary goods consist of items directly obtained from nature, such as ores and minerals, and serve as the foundational component of the index [4]. The IIP is compiled monthly by the National Statistical Office (NSO) to measure short-term changes in industrial production volume [3].

Sources

  1. [1] Indian Economy, Nitin Singhania .(ed 2nd 2021-22) > Chapter 12: Indian Industry > Indian Industry 12.11 > p. 385
  2. [2] Indian Economy, Vivek Singh (7th ed. 2023-24) > Chapter 7: Indian Economy after 2014 > 7.6 Index of Industrial Production and Core Industries > p. 237
  3. [4] FUNDAMENTALS OF HUMAN GEOGRAPHY, CLASS XII (NCERT 2025 ed.) > Chapter 5: Secondary Activities > Industries Based On Output/Product > p. 42
  4. [3] Indian Economy, Nitin Singhania .(ed 2nd 2021-22) > Chapter 12: Indian Industry > Index of Industrial Production (IIP) > p. 384
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