Industrial output contracted to 0.6 per cent in December due to poor performance of manufacturing and mining sectors and decline in production of capital as well as consumer goods. The industrial output, as measured by the Index of Industrial Production, IIP had grown by 2.7 per cent in December, 2011. According to official data released in New Delhi today, industrial production growth stood at 0.7 per cent during April-December period of this fiscal, down from 3.7 per cent in the same period of 2011-12.The manufacturing sector, which constitutes over 75 per cent of the index, registered a contraction of 0.7 per cent in December in 2012, as against a growth of 2.8 per cent in 2011. Rising for the fourth consecutive month, retail inflation remained in double digits at 10.79 per cent in January, driven by higher prices of vegetables, edible oil, cereals and protein-based items. The retail inflation had stood at 10.56 per cent in December, 9.90 per cent in November and 9.75 per cent in October, 2012. The vegetables basket in January recorded the highest inflation of 26.11 per cent among all the constituents that make the Consumer Price Index, CPI, according to data released today. Vegetables were followed by the oil and fats segment at 14.98 per cent. Meat, fish and egg became 13.73 per cent more expensive during the month.The data for wholesale price index-based inflation is expected on Thursday.