Eight core sectors' growth up 8.9% in June on low base effect: Govt data

The eight infrastructure sectors of had contracted by 12.4% in June 2020 due to the lockdown restrictions imposed to control the spread of coronavirus infections

The output of eight core sectors grew 8.9 per cent in June, mainly due to a low base effect and uptick in production of natural gas, steel, coal and electricity, official data showed on Friday.

The eight infrastructure sectors of coal, crude oil, natural gas, refinery products, fertilisers, steel, cement and electricity had contracted by 12.4 per cent in June 2020 due to the lockdown restrictions imposed to control the spread of coronavirus infections.

In May this year, these key sectors had recorded a growth of 16.3 per cent, while it was 60.9 per cent in April.

According to the commerce and industry ministry data, production of coal, natural gas, refinery products, steel, cement and electricity jumped by 7.4 per cent, 20.6 per cent, 2.4 per cent, 25 per cent, 4.3 per cent and 7.2 per cent, respectively, in June 2021, as against (-) 15.5 per cent, (-) 12 per cent, (-) 8.9 per cent, (-) 23.2 per cent, (-) 6.8 per cent and (-) 10 per cent in the same month last year.

Crude oil output contracted by 1.8 per cent during the month under review as against a negative growth of 6 per cent in June 2020.

Fertiliser segment recorded a growth of 2 per cent in June. During April-June period this fiscal, the eight sectors grew by 25.3 per cent against a contraction of 23.8 per cent in the same period last year.