India's eight core sectors recorded a cumulative growth of 5% year-on-year in June as compared to 3.2% in the preceding month, as per the data released by the Ministry of Commerce and Industry on Monday under the new series (base year 2022-23).
The growth comes amid a jump in cement output, which rose by 9.8%. In the preceding month, the growth stood at 8.4%, indicating a jump in construction activity.
However crude oil output continued to be under pressure as it fell by 4.2% in June as well. Natural gas production continued to slip, as it fell 7.4% in June in comparison to a decline of 5% in May.
Steel production remained robust, rising by 4.6% in the last month after a 5.1% climb in May. The coal sector witnessed an uptick of 1.4%, after an 9.5% decline in the preceding month.
Fertiliser output decreased by 3.3% in June, after 1% de-growth in May.
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The output of petroleum refinery products, which hold the most weightage in the index of eight core industries, declined by 4.7% after a decline of 8.2% the previous month.
The eight core industries constitute about 40% of India's Index of Industrial Production. IIP growth in March stood at 5.1% in May, bolstered by high electricity and gas production.
Notably, the Ministry of Statistics and Programme Implementation (MoSPI) has revised the base year for Index of Industrial Production (IIP) from 2011–12 to 2022–23. This is the second set of data under the revised base year.
Manufacturing production increased 5.5% year-on-year, compared with 6.1% month-on-month. On the other hand, mining production declined 1.6% year-on-year in May, though the contraction narrowed compared with a 3.8% month-on-month decline.
Manufacturing production grew 5.5% year-on-year in May Electricity output increased 9.9%, improving significantly from 4.6% in April, while water supply output rose 5.5% against 6.6% month-on-month.
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