Significant slowdown in core sector output fell 5.2% in September

(PTI) New Delhi, Ta. October 31, 2019, Thursday

In September, the production of eight core sectors fell to 8.5 per cent, which is less than the last one decade. The low output seen in the eight core infrastructure industries is indicative of a severe downturn in the country.

Out of the eight core industries, the output of seven industries has declined. Coal production was down by 8 per cent, crude oil production by 8 per cent and natural gas production by 8.5 per cent.

The production of refinery products was down by 8 per cent, cement by 6 per cent, steel by 8 per cent, and electricity by 8 per cent. In September alone, production in the fertilizer sector saw a growth of 5.5 per cent.

According to data released by the government, the production of eight core sectors in September last year was 8.2 per cent. During the period from April to September, the growth of the core sector industry declined to 8.2 percent. That was up from 9.5 percent a year ago.

Regarding the figures released today, India Ratings and Research said in a statement that such low growth in the core sector industries was also witnessed in 7-8 or 6-7. Which clearly shows that the country is in dire recession. According to experts in ICRA, IIP-borne industrial output in September is projected to be between 7.5 percent and 8.5 percent.