Core Sector Registers 7.4% Growth

New Delhi, Aug 20 | Updated: Aug 21 2004, 05:30am hrs
The infrastructure sector registered an impressive 7.4 per cent growth in July, against 2.8 per cent in the same month previous year.

During the April-July period, the sector grew by 6 per cent, as compared to 4.2 per cent in the corresponding period last fiscal, says an official release. The sector includes crude petroleum, petroleum refinery products, coal, electricity, cement and finished steel. The weight of the sector in the index of industrial production (IIP) is 26.68 per cent.

Electricity generation grew by 13.9 per cent, while cement posted a handsome 8 per cent growth rate. Coal production was up 6.6 per cent in a month in which crude oil production was almost stagnant, while finished steel and petroleum refinery products recorded growth rates of over 3 per cent.

All industries, except finished steel, recorded higher growth rate in the first four months of 2004-05 when compared with the corresponding period of the previous year.

Key drivers in April-July were petroleum refinery products and electricity which posted 10 per cent and 7.9 per cent growth rates. Coal production was up 6.4 per cent, while cement and crude recorded over 4 per cent growth rates.

Steel ended the period with a growth of 2.8 per cent as against 8.8 per cent rate of growth in April-July 2003-04.