The output growth of India’s eight core sectors contracted by 1.8 percent in August on-year basis compared to 13.4 percent in same period last year. The growth rate stood at 6.1 percent in July.
The decline is attributed to a decline in the output of coal, crude oil, natural gas, refinery products, cement and electricity, according to official data released on September 30.
The output growth in coal, crude oil, natural gas, refinery products, fertiliser, steel, cement and electricity sectors were 13.4 percent in August 2023. During April-August this fiscal, the output of core sectors rose 4.6 percent compared to 8 percent in the same period in FY24.
In August, steel output slowed to 4.5 percent against 10.9 percent in the same month last year. Natural gas production contracted by 3.6 percent during the month under review compared to an expansion of 10 percent in August 2023.
India’s coal production decreased by 8.1 percent in August, 2024 against an expansion of 17.9 percent in August 2023. Crude Oil production dipped by 3.4 per cent in August YoY in the month under review.
India’s manufacturing PMI had slumped to a three-month low of 57.5 in August compared with 58.1 in the previous month, as demand had softened.
The eight core sectors contribute 40.27 percent to the Index of Industrial Production (IIP) which measures overall industrial growth.
