Contracting for the second month in a row, the country's industrial production shrank 0.7 per cent in August this year. The country's factory output, measured by the Index of Industrial Production, IIP, had contracted 2.5 percent in July this year. <br/><br/>Official data released today showed that manufacturing sector output, which constitutes over 75 per cent of the IIP, contracted 0.3 per cent in August. Capital goods output declined 22.2 per cent during the month, while mining output fell 5.6 percent. But electricity generation increased 0.1 per cent in August.<br/><br/>Output of consumer durables grew 2.3 per cent in August, consumer non-durables output rose 0.1 percent, and overall consumer goods production grew 1.1 per cent during the month.