July core sector growth moderates to 3.2% after 5.2% rise in June

Sharp pick-up in refinery products and sustained rise in coal behind growth

Growth in the eight core sectors stood at 3.2 % in July mainly due to sharp uptick in refinery products and a sustained rise in coal production. The index had grown by 5.2% in the previous month of June.

Data released by the Commerce and Industry Ministry on Wednesday show that growth in the eight core industries -- coal, crude oil, natural gas, refinery products, fertilizers, steel, cement and electricity -- had a cumulative growth of  4.9% in the months leading up to July in the current financial year.

The sectors which comprise nearly 38 per cent of India's total industrial production, had a lower growth of 2.2% in the same period of the previous year.

After rising to a 17 month high of 8.5% in April due to rise in refinery products and electricity generation, core sector growth plunged to a 5 month low of 2.8% in May after the sectors failed to sustain the growth momentum.

The rise in the last month of June was the back of robust growth in coal and cement production.