Eight core sectors grow by 3.7% in August

Post 7-month high growth rate on good performance by power, cement, steel and fertiliser

Eight infrastructure industries posted a 7-month high growth rate of 3.7 per cent in August on the back of good performance by power, cement, steel and fertiliser sectors.

The growth of the core sectors was, however, lower as compared to 6.1 per cent recored in the same month last year, according to the official data released here today.

The core industries, which also include coal, natural gas, refinery products and crude oil, having a weight of about 38 per cent in the Index of Industrial Production (IIP), grew at 3.7 per cent January this year. The growth in output of the core sectors remained below this mark till July.

During the April-August period of 2013-14 fiscal, the growth of core industries has slowed to 2.3 per cent from 6.3 per cent in the same period during 2012-13.

Power generation grew by 6.7 per cent in August as against a meagre 1.9 per cent in the same month last year. It registered a cumulative growth of 4.1 per cent during April to August this fiscal, compared to 4.9 per cent in the same period in 2012-13.

Cement production grew by 5.5 per cent in August compared to 0.4 per cent in the same month last year. However, growth in the sector slowed down to 3.2 per cent in April-August period this fiscal, compared to 8.3 per cent in 2012-13.

The output of steel also grew by 4.3 per cent in August as compared to 2.9 per cent in the same month last year. The production was up by 4.1 per cent in April-August period, compared to 2.8 per cent in same period in previous fiscal.

The fertiliser production grew by 1.7 per cent in August as against a contraction of 2.1 per cent in the same month last year. During the April-August period, the output grew by 1.8 per cent compared to a contraction of 7.9 per cent in the same period last fiscal.