New Delhi, Aug 12 (IANS): India's factory output grew at a faster 8.8 percent in June compared to the levels seen in the year-ago period, primarily due to robust growth in the manufacturing sector -- especially capital goods production, according to official data released Friday.

The barometer for measuring industrial output, the index of industrial production (IIP), had risen by a much slower 5.6 percent in May.

Manufacturing, which constitutes about 80 percent of the IIP, grew at a rate of 10 percent in June compared to 5.6 percent in the previous month, while mining output grew by a slower 0.6 percent as against 1.4 percent in May, according to a statement from the ministry of statistics and programme implementation.

Electricity generation was up 7.9 percent in June, also slower than what was registered in the previous month at 10.3 percent.

According to Friday's data, capital goods grew at a scorching 37.7 percent, while intermediate products remained almost stagnant -- their production rose by only 1.9 percent.

Consumer goods output too showed a slow rise at 1.6 percent.

Consumer durables and non-durables production slowed to 1 percent and 2.1 percent, respectively.

Policymakers had been expressing confidence that industrial output will swing back from the lows it hit in the past few months.

The data has been computed by keeping 2004-05 as the base year. The earlier series had 1993-94 as the base.