India's Core Sector Growth Rises To 12.7% In June From 9.4% In The Year-Ago Month: Govt

The production growth of eight infrastructure sectors was 19.3 per cent in May 2022

The output of eight core infrastructure sectors expanded by 12.7 per cent in June against 9.4 per cent in the year-ago month period, according to the goverement data showed on Friday. However, the production growth of eight infrastructure sectors was 19.3 per cent in May 2022, the data stated.

In June, the output of coal, refinery products, fertiliser, cement, and electricity rose by 31.1 per cent, 15.1 per cent, 8.2 per cent, 19.4 per cent, and 15.5 per cent, respectively.

The country’s economy, which is recovering from the pandemic, faces headwinds such as a looming slowdown in the West and continued uncertainty because of the Russia-Ukraine conflict.

According to the release by the Ministry of Commerce & Industry, ICI measures combined and individual performance of production in selected eight core industries viz. Coal, Crude Oil, Natural Gas, Refinery Products, Fertilizers, Steel, Cement and Electricity. The Eight Core Industries comprise 40.27 percent of the weight of items included in the Index of Industrial Production (IIP).

Final growth rate of Index of Eight Core Industries for March 2022 is revised to 4.8 per cent from its provisional level 4.3 per cent. The growth rate of ICI during April-June 2022-23 was 13.7 per cent (P) as compared to the corresponding period of last financial year.

Snapshot on eight core industries

Coal – Coal production (weight: 10.33 per cent) increased by 31.1 per cent in June, 2022 over June, 2021. Its cumulative index increased by 31.2 per cent during April to June, 2022-23 over corresponding period of the previous year.

Crude oil – Crude oil production (weight: 8.98 per cent) declined by 1.7 per cent in June, 2022 over June, 2021. Its cumulative index increased by 0.6 per cent during April to June, 2022-23 over the corresponding period of previous year.

Natural gas - Natural Gas production (weight: 6.88 per cent) increased by 1.2 per cent in June, 2022 over June, 2021. Its cumulative index increased by 4.8 per cent during April to June, 2022-23 over the corresponding period of previous year.

Petroleum refinery products – Petroleum Refinery production (weight: 28.04 per cent) increased by 15.1 per cent in June, 2022 over June, 2021. Its cumulative index increased by 13.5 per cent during April to June, 2022-23 over the corresponding period of previous year.

Fertilizers – Fertilizers production (weight: 2.63 per cent) increased by 8.2 per cent in June, 2022 over June, 2021. Its cumulative index increased by 13.2 per cent during April to June, 2022-23 over the corresponding period of previous year.

Steel – Steel production (weight: 17.92 per cent) increased by 3.3 per cent in June, 2022 over June, 2021. Its cumulative index increased by 6.6 per cent during April to June, 2022-23 over the corresponding period of previous year.

Cement – Cement production (weight: 5.37 per cent) increased by 19.4 per cent in June, 2022 over June, 2021. Its cumulative index increased by 17.1 per cent during April to June, 2022-23 over the corresponding period of previous year.

Electricity – Electricity generation (weight: 19.85 per cent) increased by 15.5 per cent in June, 2022 over June, 2021. Its cumulative index increased by 16.8 per cent during April to June, 2022-23 over the corresponding period of previous year.