Core sector growth falls to 0.4% in June
The growth of eight core sectors slowed to 0.4% in June due to contraction in output of coal, refinery products, fertiliser and cement
New Delhi: The growth of eight core sectors slowed to 0.4% in June due to contraction in output of coal, refinery products, fertiliser and cement.
The growth rate of eight infrastructure sectors—coal, crude oil, natural gas, refinery products, fertilisers, steel, cement and electricity—was 7% in June last year.
The production of coal declined by 6.7%, refinery products by 0.2%, fertiliser by 3.6% and cement by 5.8%, as per the official data.
Crude oil output rose to 0.6% last month as against a decline of 4.3% in June 2016. According to the data, natural gas output rose by 6.4% in June. Steel production and power generation slowed to 5.8% and 0.7% in June this year from 8.8% and 9.8% in the same month last year respectively.
Slow growth in key sectors would also have implications on the Index of Industrial Production (IIP) as these segments account for about 41% to the total factory output. In May, these eight sectors had recorded a growth rate of 4.1%.
Editor's Picks »
- Global market calm at risk as commodities sink into correction
- Nokia 3.1 launched in India, plans to take on budget smartphones with attractive offers
- America, meet your faker: Sacha Baron Cohen is back
- Suzuki Motorcycle to invest ₹600 crore in its second India plant
- Samsung’s Noida phone plant masks Narendra Modi’s ‘Make in India’ struggle
- Market optimism before 2019 general election: History may not repeat itself
- UltraTech Cement: No respite from cost pressures
- Mindtree sees strong revenues but client concentration remains high
- Bandhan Bank’s share defies gravity as growth story is intact
- Fund managers slashing allocations to equities in emerging markets, shows BAML survey