Output in eight infrastructure sectors in India registered a growth of 3.6% in March 2023, the slowest pace since October, government data released on Friday, April 28 showed.
Production in key sectors rose 7.2% in February from 4.8% in the previous month. Earlier it was 0.7% in October 2022.
Crude oil production fell by 2.8%, power by 1.8% and cement by 0.8% in March this year, PTI reported citing official data.
On the other hand, coal production increased by 12.2%, fertilizers by 9.7%, steel by 8.8%, natural gas by 2.8% and refined products by 1.5%.
The growth rate of eight infrastructure sectors – coal, crude oil, natural gas, refined products, fertilizers, steel, cement and power – was 7.6% in FY23, as against 10.4% recorded in 2021-22.
Sunil Sinha, Chief Economist, India Ratings and Research, told News: “Ind-Ra believes that growth in the infrastructure sector will come under pressure in the current fiscal due to weakening global and domestic demand. As a result, the agency expects the base sector’s annual growth to be 5% in FY24. expecting
“The base sector growth slowed to a five-month low of 3.6% year-on-year from 7.2% in February 2023, which was so broad that only coal and crude oil showed sustained improvement,” Aditi Nair, ICRA’s chief economist, told Mint.
India and Colombia develop friendly relations
“Production of some sectors may have been affected by seasonal rains such as power and cement, which showed year-on-year contraction along with crude oil in March 2023. At the same time, coal, fertilizers and steel showed a healthy expansion of over 8% in March 2023, which is encouraging,” he added.
Production in key sectors rose 7.2% in February from 4.8% in the previous month. Earlier it was 0.7% in October 2022.
The annual behavior of most high-frequency indicators weakened in March 2023 compared to February 2023, similar to the trend of the main sector, he explained to this newspaper.
The basic sector or core infrastructure industries have a weightage of 40.27% in the general index of industrial production.
The article was republished from The Wire as part of an agreement between the two parties to share content. Link to original article:https://thewire.in/economy/eight-core-sector-industries-post-3-6-growth-in-march-slowest-in-five-months
The Wire is an Indian non-profit news and opinion website publishing in English, Hindi, Marathi and Urdu. It was founded in 2015 by Siddharth Varadarajan, Siddharth Bhatia and MK Venu and is organized as a non-profit organization called Foundation for Independent Journalism.
Wire and Reporte Asia have an agreement to translate and exchange content.
“Beer fanatic. Bacon advocate. Wannabe travel junkie. Social media practitioner. Award-winning gamer. Food lover.”
More Stories
Railway Minister has said that the cause and culprits of the terrible train accident in India have been identified
Controversy in India over an officer draining a water tank to retrieve a cell phone
Interview | Taramaso: “India will be a little surprise for us”