India's Core Sector Industries Achieve 4.3% Growth in November
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New Delhi, Dec 31 (NationPress) The output of India's eight core sector industries has exhibited a rise of 4.3% year-on-year in November, primarily fueled by a strong increase in cement and steel production during the month, as per data released by the government on Tuesday.
The figures for November indicate a notable acceleration from the revised 3.7% growth in infrastructure output recorded in October.
Cement production soared by an impressive 13% in November, while steel output increased by 4.8%, slightly below the revised 5.2% rise observed in the preceding month.
Electricity generation saw a growth of 3.8%, a significant improvement from the revised 2% growth in October.
Fertiliser production climbed by 2%, marking a remarkable enhancement from the 0.4% increase in October.
Conversely, crude oil production fell by 2.1%, in contrast to a 4.8% drop in October, while natural gas output decreased by 1.9%, slightly surpassing the 1.2% decline recorded in the previous month.
Coal production rose by 7.5% compared to 7.8% in October, and refinery product output increased by 2.9%, down from a 5.2% rise in the prior month.
During the April-November timeframe, infrastructure output grew by 4.2%, a deceleration compared to the 8.7% growth witnessed in the same period last year.
The eight core industries account for 40.27% of the weight of items included in the Index of Industrial Production (IIP) and serve as a reliable indicator of the overall industrial growth rate for the month.
ICRA Chief Economist Aditi Nayar stated: "The core sector growth increased to 4.3% in November 2024 from a revised 3.7% in October 2024, with enhancements in half of its eight components, partly reflecting the diminishing impact of heavy rainfall in the prior months. The sequential improvement in the core sector’s performance was particularly driven by a substantial rise in cement output, attributed to a low base.”
"Looking forward, we anticipate the IIP to grow by 5-7% in November 2024, benefiting partially from the uptick in core sector growth," she added.
