India's Core Sector Growth Slows to 5.4% in July as Fertilisers Contract 8%
Updated
Updated · The Hindu · Aug 20
India's Core Sector Growth Slows to 5.4% in July as Fertilisers Contract 8%
3 articles · Updated · The Hindu · Aug 20
Summary
India’s eight core industries expanded 5.4% in July, down from 6% in June, though still the second-fastest pace in seven months under the new index series.
An 8% fertilisers contraction, slower iron ore growth at 29.5%, and steel’s deceleration to 2.9% drove the slowdown, while natural gas and crude oil shrank 3.7% and 5.3% for a 14th straight month.
Patchy monsoon conditions likely hurt fertiliser demand by reducing sowing, while some strong readings were flattered by low-base effects after last year’s contractions.
Cement and electricity remained bright spots, with cement growth rising to a seven-month high of 13.1% and electricity increasing 9%; refinery products also returned to growth at 2.7%.