Core sector output growth in August stuck at July’s 3.2%

Core sector industrial production growth remained unchanged in August from the 3.2 per cent growth recorded in July while it was lower at 2.6 per cent in August last year.

Output in the eight core sector industries comprising coal, crude oil, natural gas, refinery products, fertiliser, steel, cement and electricity, which carry nearly 38 per cent of the weight of items included in the Index of Industrial Production (IIP), expanded at a cumulative 4.5 per cent in April-August this fiscal.

Core sector output growth, which showed positive growth in April, May and June this year, had shown a declining trend since then.

Coal production, which has a weight of 4.38 per cent in the general index of industrial production (IIP) declined by 9.2 per cent in August 2016 while cumulative production of coal during the April-August period increased by 2.6 per cent year-on-year.

Production of crude oil (weight of 5.22 per cent in IIP) declined by 3.9 per cent in August, 2016 while cumulative production of crude oil declined by 3.1 per cent in April-August 2016-17.

Natural gas production (weight of 1.71 per cent in IIP) declined by 5.7 per cent in August 2016 while cumulative production of natural gas during April-August 2016-17 declined by 4.2 per cent over the corresponding period of the previous year.

Petroleum refinery production (weight of 5.94 per cent in IIP) increased by 3.5 per cent in August, 2016 while cumulative production during April-August 2016-17 increased by 7.6 per cent year-on-year.

Fertiliser production (weight of 1.25 per cent n IIP) increased by 5.7 per cent in August 2016 while cumulative production of fertilisers during April-August 2016-17 increased by 6.4 per cent from the corresponding period of the previous year.

Steel production (weight of 6.68 per cent in IIP) increased by 17.0 per cent in August 2016 while cumulative steel production during April-August 2016-17 increased by 5.5 per cent year-on-year.

Cement production (weight of 2.41 per cent in IIIP) increased by 3.1 per cent in August 2016 while cumulative cement production during April-August 2016-17 increased by 4.4 per cent over the corresponding period of the previous year.

Electricity generation (weight of 10.32 per cent in IIP) increased by 0.1 per cent in August 2016 while cumulative power generation during April- August 2016-17 increased by 5.7 per cent over the corresponding period of the previous year.