Core sector growth up 3.2% in Sept, fastest in four months

New Delhi: Growth in eight core sectors rose to 4-month high of 3.2 percent in September because of sharp pick-up in fertiliser production and electricity generation. The eight core industries – coal, crude oil, natural gas, refinery products, fertilisers, steel, cement and electricity – comprising nearly 38 percent of India’s total industrial production had grown at 2.6 percent in the same month of last year.[caption id=“attachment_2430686” align=“alignleft” width=“380”]  Time to propel growth. Reuters[/caption] The growth rate in September was highest since May when it was 4.4 percent. The cumulative growth rate in the April-September period, 2015-16, is now at 2.3 percent, lower than 5.1 percent the first six months of the last financial year. As per data released by the Ministry of Commerce and Industry, fertiliser production increased by 18.1 percent in September as compared to 12.59 percent in August. It was negative at (-)11.6 in same month of last fiscal. Growth in electricity generation was at 10.8 percent in September as compared to 3.9 percent in the year-ago period. It had recorded 5.6 percent growth in August. The coal sector output expanded by a slower pace of 1.9 percent in September this year as against 7.6 percent in the same month last fiscal. However, it was higher than 0.4 percent in August. The decline in steel production was (-)2.5 percent as compared to (-)5.9 percent in the previous month. The sector had shown a growth of 6.6 percent in September 2014. Crude oil segment declined (-)0.1 percent in September while the sector had shown a healthy growth of 5.6 percent in August. Growth in crude oil sector had also dipped in September 2014. While natural growth production posted a growth on yearly basis, the growth in output was down on sequential basis. Similarly, refinery production was better on yearly basis, but there was dip on month-on-month basis. The data further revealed cement production declined by 1.5 percent in September as against a growth of 5.4 percent in August. The segment had posted a growth of 3.7 percent in September 2014-15. PTI