Growth of eight core sector industries unchanged at 4.7% in October

Eight core sectors grew at a slower pace of 4.7% in October, chiefly due to subdued performance of cement, steel and refinery segments.

The eight infrastructure sectors -- coal, crude oil, natural gas, refinery products, fertilisers, steel, cement and electricity -- had clocked a growth of 7.1% in October last year.

Meanwhile, the industry ministry has revised downwards September growth print of these eight sectors to 4.7% from the earlier estimate of 5.2%.

Official data released this evening showed that cement production contracted by 2.7% as against an expansion of 6.2% in October 2016.

Source: Commerce department
Output growth in the steel segment too slowed to 8.4% in the last month compared to 17.4% in the year- ago period.

Similarly, there was slowdown in refinery output, whose growth was 7.5% in October this year. This compares with 12.6% expansion in the same month last year.

Electricity generation, too, was slower on an annual basis.

Meanwhile, the coal segment has shown significant improvement as it expanded by 3.90%. It witnessed a decline of 1.9% in the year-ago period.

The fertiliser sector grew by 3% as against 0.7% last year.

Crude oil production and natural gas output have shown improvement, too.

Cumulatively, the growth in the eight core sectors slowed down to 3.5% as against 5.6% in the comparable period of the last fiscal.

The eight core industries constitute 40.27% of weight of items in the index of industrial production (IIP).

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