Core sector output growth slows to six-month low of 3.5% in April

Growth in eight infrastructure industries — the core sector — slowed to a six-month low at 3.5 per cent in April, with the production of natural gas and refinery products slipping for the first time in five months and crude oil output falling for the 11th consecutive month.

Contraction in the electricity sector (-1.4 per cent) continued for the second month in April amid unseasonal rainfall.

Madan Sabnavis, chief economist, Bank of Baroda, said the contraction in the electricity output was due to a higher base. “But this is also reflective of a lower level of industrial activity which has brought down demand.