Core sector growth rate nearly doubles to 4.3 per cent in April

The growth rate of core sector industries, including cement, finished steel, coal and electricity, nearly doubled to 4.3 per cent during April 2009, the first month of the current fiscal, showing signs of an economic recovery.

The index of six core industries having a combined weight of 26.7 per cent in the index of industrial production (IIP) with base 1993-94 stood at 243.0 (provisional) in April 2009, recording a growth of 4.3 per cent (provisional) compared to a growth of 2.3 per cent in April 2008.

For fiscal 2008-09 (April-March), the six core industries grew at 2.7 per cent (provisional) as against 5.9 per cent during the corresponding period of the previous year.

Production of crude pil (weight 4.17 per cent in the IIP) grew at (–) 3.1 per cent (provisional) in April 2009, compared to a growth rate of 1.0 per cent in April 2008. Crude oil production registered a growth of (-)1.8 per cent  (provisional) during April-March 2008-09, compared to 0.4 per cent during the same period of 2007-08.

Petroleum refinery production (weight 2.00 per cent in the IIP) posted a growth of (-) 4.3 per cent (provisional) in April 2009 compared to growth of 4.3 per cent in April 2008. Petroleum refinery production grew at 3.0 per cent (provisional) during April-March 2008-09 compared to 6.5 per cent during the same period of 2007-08.

Coal production (weight 3.2 per cent in the IIP) showed a growth of 13.2 per cent (provisional) in April 2009 compared to a growth rate of 10.4 per cent in April 2008. Coal production grew 7.7 per cent (provisional) during April-March 2008-09 compared to an increase of 6.3 per cent during the same period of 2007-08.

Electricity generation (weight 10.17 per cent in the IIP) registered a growth of 6.0 per cent (provisional) in April 2009, compared to a growth rate of 1.4 per cent in April 2008. Electricity generation grew 2.7 per cent (provisional) during April-March 2008-09, compared to 6.3 per cent during the same period of 2007-08.

Cement production (weight 1.99 per cent in the IIP) registered a growth of 11.7 per cent (provisional) in April 2009 compared to 6.9 per cent in April 2008. Cement Production grew 7.5 per cent (provisional) during April-March 2008-09 compared to an increase of 8.1 per cent during the same period of 2007-08.

Finished (carbon) steel production (weight 5.13 per cent in the IIP) registered a growth of 1.6 per cent (provisional) in April 2009 compared to (-) 0.6 per cent (estimated) in April 2008. Finished steel production grew 0.4 per cent (provisional) during April-March 2008-09 compared to an increase of 6.2 per cent during the same period of 2007-08.