Core sector growth hits 6-month high at 5.2%

Coal production grew 10.6% in Sept from a year ago, while refinery products output grew 8.1%

Eight core sectors grew to a six-month high of 5.2 per cent in September, helped by a robust performance in coal, natural gas, and refinery segments.

The eight infrastructure sectors — coal, crude oil, natural gas, refinery products, fertilisers, steel, cement, and electricity — had witnessed a growth of 5.3 per cent in September last year.

The expansion in September is highest since April, when the core sectors’ growth stood at 2.6 per cent. The production of coal, natural gas, and refinery products rose by 10.6 per cent, 6.3 per cent and 8.1 per cent, respectively, on annual basis. Crude oil output registered a growth of 0.1 per cent during the month under review, compared to a contraction of 4.1 per cent in September 2016. Growth rate of steel and cement production was slower in September this year, against the same month in FY17. Electricity generation recorded almost flat growth. However, fertiliser output recorded degrowth during the month under review.

Cumulatively, the growth in the eight core sectors in FY18 slowed down to 3.3 per cent, against 5.4 per cent in the same period in the previous financial year.