July core growth shrinks 9.6% vs 12.9% in June
Amid a graded easing of lockdowns, core sector shrank at a slower speed in July than in June, according to data released on Monday.
The core sector contracted 9.6 per cent in the month of July, an improvement over the the - 12.9 per cent contraction seen a month ago.
The production of eight core sectors had expanded by 2.6 per cent in July 2019.
Barring fertiliser, all seven sectors — coal, crude oil, natural gas, refinery products, steel, cement and electricity — recorded negative growth in July.
The output of steel, refinery products, cement, natural gas, coal, crude oil and electricity declined by 16.5 per cent, 13.9 per cent, 13.5 per cent, 10.2 per cent, 5.7 per cent, 4.9 per cent and 2.3 per cent, respectively.
Fertiliser output grew by 6.9 per cent during the month under review as against 1.5 per cent in July 2019.
During April-July 2020-21, the sector's output dipped by 20.5 per cent as compared to a growth of 3.2 per cent in the same period previous year.
This is the fifth month of contraction on run for the eight core industries.
A similar trend was observed a month earlier too, with June infra growth slowing at a less rapid pace compared to May.
There was a 22 per cent slip in May. For April, the decline was 37 per cent.
The eight industries are coal, crude oil, natural gas, refinery products, fertiliser, steel, cement and electricity. These together have a 40 per cent weight in the Index of Industrial Production (IIP).
with PTI inputs