India’s basic sector output up 9.4% in July


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Indian production of the eight core industries rose 9.4 per cent year-on-year (year-on-year) in July as all sectors except crude oil saw production increase. On a monthly basis, production rose 5.4 percent in July, after rising 1.5 percent in June.

Core sector output fell 7.6 percent in July 2020 due to restrictions related to COVID-19.

The cement sector recorded the largest year-on-year growth of 21.8 percent in July 2021, followed by natural gas with 18.9 percent and coal with 18.7 percent. Steel production rose 9.3 percent, while electricity production rose 9 percent during the month, government data showed.

The oil refinery rose 6.7 percent in July, while fertilizer production rose 0.5 percent. Meanwhile, crude oil production fell 3.2 percent.

Also read: India records 20.1% GDP growth in the first quarter on a low basis, improved production

The production of basic industries increased by 21.2 percent during the period April-July 2021-22, compared to a decrease of 19.8 percent in the same period last year.

The onset of a nationwide coronavirus pandemic and quarantine announced by the government in March last year to curb the spread of infections hit industrial production between April and July 2020.

The government also revised the final growth rate of basic sector production for April 2021 to 62.6 percent from a provisional level of 56.1 percent.

Eight core industries make up 40.27 percent of the weight of items included in the Industrial Production Index (IIP).

Also read: The fiscal deficit for April-July is 21.3% of the target of 15.07 light rupees for the 22nd fiscal year

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