With the manufacturing sector gearing up, India's industrial growth improved to 5 per cent in the first two months of this year as against 4.1 per cent in the previous year, despite mining and electricity sectors performing poorly.

According to the Index of Industrial Production, the industrial growth in May showed a remarkable come back to 5.7 per cent as compared to 4.1 per cent a year-ago mainly due to buoyant growth in the manufacturing and electricity segments.

The capital goods sector staged a brilliant performance with 8.1 per cent growth in April-May 2003 as compared to a mere 2.2 per cent in the same period last year.

Consumer good segment recorded a growth of 9.1 per cent during the first two months of this year as compared to 7.7 per cent in the corresponding period the previous year due to good performance in consumer durables segment.

In the second month of this financial year, the consumer goods sector growth notched up to 12 per cent as compared to 6.6 per cent in the same period a year-ago.

However, basic goods sector could not put up a brave show with growth ticking at 3.7 per cent during April-May 2003 as compared to 5.1 per cent in the corresponding period in the previous year. In May, basic good's production grew by 4.0 per cent as against 5.6 per cent in the same month a year-ago.

With consumer durables production ticking a 6.8 per cent growth in May alone, the total production growth in the first two months of this year had swam to positive range of 2.7 per cent as compared to (-)1.7 per cent in the same period in the previous year.

Growth in May 2002 had recorded a negative 6.7 per cent.