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Core Sectors' Output Growth Hits 16 Month Low at 3.5 Percent in November

The growth rate of eight infrastructure sectors — coal, crude oil, natural gas, refinery products, fertilisers, steel, cement and electricity — was 6.9 per cent in November last year.

PTI

Updated:December 31, 2018, 6:32 PM IST
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Core Sectors' Output Growth Hits 16 Month Low at 3.5 Percent in November
File photo: A worker operates a lathe inside a small scale manufacturing unit in Ahmedabad, India, April 12, 2016. REUTERS/Amit Dave/Files
New Delhi: Eight core industries grew at its slowest pace in 16 months at 3.5 per cent in November due to fall in output of crude oil and fertilisers, official data showed on Monday.

The previous lowest expansion in output growth of these key industries was recorded at 2.9 per cent in July 2017.

The growth rate of eight infrastructure sectors — coal, crude oil, natural gas, refinery products, fertilisers, steel, cement and electricity — was 6.9 per cent in November last year.

Crude oil and fertiliser production recorded negative growth of 3.5 per cent and 8.1 per cent, respectively, as per the government data released on Monday.

The growth rate in the production of natural gas, refinery products, steel, and cement sectors slowed to 0.5 per cent, 2.3 per cent, 6 per cent, and 8.8 per cent in November, respectively.

Slow growth in key sectors would also have implications on the Index of Industrial Production (IIP) number as these segments account for about 41 per cent to the total factory output.

However, growth in coal and electricity output grew by 3.7 per cent and 5.4 per cent in November as against 0.7 per cent and 3.9 per cent, respectively in the same period last year.

During April-November this fiscal, the eight core sectors free by 5.1 per cent as against 3.9 pet cent during the same period last fiscal.
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