Coal fires up Aug core sector growth to a 13-month high

Gains in coal, fertilizers and refinery products drive 6.3% growth during the month

- Rhik Kundu

Refinery products rebounded with 3% growth after a contraction in July, while steel output expanded 14.2%, down from 16.6% a month earlier.

(BLOOMBERG)

India’s core infrastructure industries grew at their fastest pace in more than a year, with output rising 6.3% in August compared with a year earlier, provisional data from the commerce ministry showed on Monday.

The uptick marked the quickest pace in 13 months, buoyed by strong gains in coal, fertilizers, and refinery products.

The eight core sectors—coal, crude oil, natural gas, refinery products, fertilizers, steel, cement, and electricity—together make up over two-fifths of the country’s industrial output. Growth had slowed to 3.7% in July, while August last year saw a contraction of 1.5%.