India’s core industries grew 0.2% in June, slowest in over four years, shows government data
The Congress said the situation required emergency action.
India’s eight core industries grew at their slowest rate in over four years in June, rising 0.2% as compared to the same month last year, data released by the Ministry of Commerce and Industry showed on Wednesday. The core industries had expanded 7.8% in June 2018.
The growth in May was 4.3%, while the cumulative growth for April-June was 3.5%.
The eight core industries are coal, crude oil, natural gas, refinery products, fertilisers, steel, cement and electricity. Among these, coal production expanded by 3.2%, fertilisers by 1.5%, steel 6.9% and electricity by 7.3%, the government said. On the other hand, crude oil declined by 6.8%, natural oil by 2.1%, petroleum refinery products by 9.3% and cement production by 1.5%.
The base year used for calculations is 2011-’12. The growth in June is the slowest since the 0.5% expansion in April 2015, according to The Economic Times.
The core infrastructure sector constitutes 40% of the country’s total industrial production. The weakness will be a drag on factory output, data for which is due on August 9, Bloomberg reported.
Meanwhile, Congress criticised the Bharatiya Janata Party government over the data.
“Denial is not just a river...,” the Congress said in a tweet. “It is the default reaction of the BJP Govt when asked for accountability on the state of the economy. Just what will it take for the Govt to acknowledge that a growth of mere 0.2% in core industries requires emergency action?”