Eight Core sector industries grow by 3.9% in Jan

Eight Core sector industries grow by 3.9% in Jan New Delhi: The eight core sector industries grew by 3.9 percent in January this year, up from 2.2 percent in the same month in 2012.

However, the cumulative expansion of these industries in April-January period of 2012-13 slowed to 3.2 percent from 5 percent in the same period previous year, according to the official data released Thursday.

The eight industries include crude oil, petroleum refinery products, coal, electricity, cement and finished steel and have a weightage of 37.9 percent in the overall Index of Industrial Production (IIP).

"The low growth in January was on account of negative growth witnessed in the production of crude oil, natural gas, fertiliser and cement," it said.

Production of natural gas and crude oil contracted by 16.8 percent and 0.2 percent, respectively, in the month under review. Fertiliser output too shrunk by 9.1 percent against 4 percent growth in January 2012.

Cement output too dipped by 6.6 percent in January 2013 from 10.9 percent growth in the same period last year.

Coal output slowed by 2.3 percent from 7.7 percent in January 2012.

However, petroleum refinery output and steel production grew by 10.5 percent and 9.4 percent against 4.6 percent and 4.5 percent, respectively, in January 2012.

Electricity generation too gew by 5.9 percent in the month under review.

The growth of eight core sector industries had declined to 2.6 percent and 1.8 percent in December 2012 and November 2012 from 4.9 percent and 7.8 percent, respectively.

Belying expectations of recovery, economic growth slipped further in the July-September quarter to 5.3 percent, raising fears that the slowdown may pull down the annual growth rate to decade's low level.

PTI