Better performances by crude oil, steel and electricity sectors led eight infrastructure industries post a growth rate of 8 per cent for September. The improved performance could be a sign of some economic turnaround in the offing.
According to government data released on Thursday, growth rate in September is higher than the previous month, when these sectors grew merely by 3.7 per cent. However, the growth number is a shade lower than 8.3 per cent that was recorded in September 2012.
The core sector industries, which also include coal, natural gas, refinery products, fertiliser and cement with a weight of about 38 per cent in the Index of Industrial Production (IIP), have grown at 3.2 per cent during the April-September period of this fiscal,compared to 2.3 per cent in the first six months of 2012-13.
Crude oil, steel and electricity output grew by 0.6 per cent, 6.6 per cent and 12.6 per cent respectively in the month under review. However, due to the continuing ban on coal mining and for want of necessary clearances coal production growth rate slowed to 12.5 per cent, while natural gas output dipped (-) 14.1 per cent.
Growth in petroleum refinery products declined to 8 per cent during the month, as against 34.9 per cent in September 2012. Fertiliser and cement production growth also slowed to 5.3 per cent and 11.5 per cent.
For the April-September period, crude oil production has declined by (-) 1.3 per cent as compared to a contraction of (-) 0.8 per cent. Similarly the output of natural gas in the six month period contracted by (-) 16.5 per cent as compared to decline in production by (-) 12.5 per cent in the same period last year.