Core Sector Growth: Industrial production declined
Core Sector Growth: Industrial production declined…
The production of eight major infrastructure related sectors has declined in august 2024. This is the first time since february 2021 that the country's industrial output (India Industrial Ouput) has seen a decline. Due to heavy rains, coal production and electricity production have been affected, due to which this output has decreased. Due to reduction in crude oil, refinery products, cement and production, the growth rate of core sectors came down to 1.8 percent in august 2024, which was 6.1 percent in July 2024. Only the production of steel and fertilizer has seen a jump in the month of August.
The Ministry of Commerce and industry has released data regarding the production of eight core sectors. According to this data, the production of eight major infrastructure sectors has decreased by 1.8 percent in august this year due to the decline in the production of coal, crude oil, natural gas, refinery products, cement and electricity. The growth rate of major basic industries like coal, crude oil, natural gas, refinery products, fertilizer, steel, cement and electricity was 13.4 percent in august 2023.
According to the data, the growth rate of major infrastructure sectors has increased by 4.6 percent during April-August of the current financial year 2024-25. This figure was 8 percent in the same period of the previous financial year. The weightage of items included in IIP in eight core industries is 40.27 percent.
In the month of august, coal production has decreased by 8.1 percent as compared to august 2023. Crude oil production has decreased by 3.4 percent in august 2024 as compared to august 2023. Natural gas production has decreased by 3.6 percent. Production of petroleum refinery products has decreased by 1 percent. Cement production has decreased by 3 percent and electricity production by 5 percent. Fertilizer production has increased by 3.2 percent. While steel production has increased by 4.5 percent.