Core sector growth stalls in Oct, hits 14-mth low

Output from India’s eight core sectors flatlined in October from an upgraded 3.3 per cent uptick in September, as growth in construction-linked sectors and refinery products was negated by contractions in energy sectors like coal, natural gas and electricity, according to data released by the Ministry of Commerce and Industry on Thursday.

- HIMANSHI BHARDWAJ

The Index of Core Industries (ICI) stood at 162.4 in October, unchanged from a year ago, and this zero per cent growth represents the worst performance in 14 months. In October 2024, core sectors’ output had registered a growth of 3.8 per cent. The last time the ICI growth was lower than October was in August 2024, when output contracted 1.5 percent.

On a sequential basis, however, October's core sector output was 1.18 per cent over September levels, when the ICI stood at 160.5, the weakest reading in ten months. Interestingly, six of eight core sectors reported sequential growth, while steel and electricity output shrank 1.68 per cent and 9.93 per cent from their September levels, respectively.