Core Infra sector growth slows to 4.2% in August 2018
As per data released by Ministry of Commerce and Industry, the growth of core eight infrastructure sectors slowed down to 4.2% in August 2018 against 4.4% in the year-ago in same month.
The decline in growth was on account of decline in production of crude oil and fertilizer which has dipped by 3.7% and 5.3%, respectively. On the other hand, other sectors like coal, natural gas and electricity production grew by 2.4%, 1.1% and 5.4%, respectively as compared with 15.4%, 4.2% and 8.3%, respectively in August 2017. Refinery products, steel and cement also recorded positive growth. During the April-August period of current fiscal, these sectors have grown 5.5% as against 3% in April-August 2017 period.
Core industries are main or key industries of the economy. In most countries, these particular industry are backbone of all other industries. In India, there are eight core sectors comprising of coal, crude oil, natural gas, petroleum refinery products, fertilisers, steel, cement and electricity. The eight infrastructure sectors, constitute 40.27% of the total index of industrial production (IIP).
Revised weightage in core sectors: Petroleum Refinery production (weight: 28.04%), Electricity generation (19.85%), Steel production (17.92%), Coal production (10.33%), Crude Oil production (8.98%), Natural Gas production (6.88%), Cement production (5.37%), Fertilizers production (2.63%).