Core Sectors’ Output Growth At 16-Month Low In November
Eight core industries grew at their slowest pace in 16 months at 3.5 percent in November due to a fall in output of crude oil and fertilisers, official data showed on Monday.
The previous lowest expansion in output growth of these key industries was recorded at 2.9 percent in July 2017.
The growth rate of eight infrastructure sectors—coal, crude oil, natural gas, refinery products, fertilisers, steel, cement and electricity—was 6.9 percent in November last year.
Crude oil and fertiliser production recorded negative growth of 3.5 percent and 8.1 percent, respectively, as per the government data released on Monday.
The growth rate in the production of natural gas, refinery products, steel, and cement sectors slowed to 0.5 percent, 2.3 percent, 6 percent, and 8.8 percent in November, respectively.
Slow growth in key sectors would also have implications on the Index of Industrial Production number as these segments account for about 41 percent to the total factory output.
The growth in coal and electricity output, however, grew by 3.7 percent and 5.4 percent in November as against 0.7 percent and 3.9 percent, respectively in the same period last year.