The output of eight core industries increased almost double in April than the previous month due to strong growth in electricity, fertilisers, cement and coal.

According to the government data, electricity production accelerated to 11.2 percent in April this year from 3.5 percent in corresponding period last year. Other industries like fertilizers (11.1 percent), cement (11.1 percent) and coal (3.3 percent) also registered similar growth sentiments in April 2014.

The data was released by Commerce and Industry Ministry on Monday. The infrastructure sector output growth for April 2013 was recorded at 3.7 percent.

Infrastructure is considered to be the most significant sector of the country’s economy as it contributes to about 38 percent of share to Index of Industrial Production (IIP). The fluctuations in core industries of the infra sector have direct impact on the country’s industrial output.

The core sector comprises coal, crude oil, oil refining, natural gas, steel, cement, electricity and fertilizers.

The index of industrial production (IIP) has shown no signs of recovery for the second month in a row, contracting 0.5 percent in March due to declining output in manufacturing, especially capital goods.

The third-largest economy in Asia grew 4.7 percent in 2013-14 fiscal, which is slower than an official estimate of 4.9 percent but higher than 4.5 percent growth in 2012-2013 fiscal.


Latest News  from Business News Desk