Core sector growth slows to 3-month low of 2.4 percent in December

New Delhi: The growth rate of eight core sector industries slowed to three-month low of 2.4 percent in December last year as production of crude oil, natural gas, fertiliser and steel declined. The eight core sector industries — coal, crude oil, natural gas, refinery products, fertiliser, steel, cement and electricity — had expanded by 4 percent in December 2013. [caption id=“attachment_2008941” align=“alignleft” width=“380” class=" “]  Representation image. Reuters[/caption] The growth was 6.7 percent in November last year. The core sector contributes 38 percent to the overall industrial production, a parameter that RBI takes into account while framing its monetary policy. Production of crude oil declined by 1.4 percent, natural gas by 3.5 percent, fertiliser by 1.6 percent and of steel by 2.4 percent in December 2014. However, coal production grew by 7.5 percent, refinery products by 6.1 percent and cement output by 3.8 percent in the month under review. The growth in electricity generation declined to 3.7 percent in December last year from 7.6 percent in December 2013. During April-December, the eight sectors grew by 4.4 percent as against 4.1 percent in the same period last year. PTI