The Indian economy is continuously progressing on its strong foundation. The latest data of eight core industries (core sectors) released by the Ministry of Commerce and Industry on Friday has once again presented a picture of India’s economic strength. Despite the challenges faced in the production of crude oil and natural gas in the month of February, the overall core sector of the country has been successful in achieving a positive growth rate of 2.3 percent.
Tremendous boom in infrastructure sector
At present, work on highways, railways, bridges and real estate is in full swing in the country. A spectacular increase of 9.3 percent has been recorded in the production of cement in the month of February. Similarly, the steel sector, which is considered the backbone of development of any country, has also maintained its strength and has seen a spectacular growth of 7.2 percent.
Even though this growth may have stabilized a bit compared to January’s spectacular figure of 11 percent, but from a global perspective, it is a sign of very strong and sustainable growth. The continuously increasing production of cement and steel shows that the construction work in the country is going on at a rapid pace without any stoppage, which is directly benefiting the common people in the form of employment and better facilities.
Strong support of agriculture and basic energy sector
The needs of farmers and the basic energy security of the country have also been strengthened by these figures. Fertilizer production, which is considered the lifeline for the agricultural sector, has registered an increase of 3.4 percent during February. This continuously increasing production is ensuring uninterrupted access of fertilizers to the farmers. At the same time, the coal sector, which is most important for power generation in the country, has also maintained a positive growth of 2.3 percent. The continuous progress of both these sectors is a very auspicious sign for the rural economy and industrial supply chain of the country.
Challenge in the oil-gas sector, yet the economy’s progress remains firm.
This index (IIP) of eight major industries accounts for 40 percent of the country’s total industrial production. This time in February, a decline of 1 percent has been seen in petroleum refinery products, 5.2% in crude oil and 5% in natural gas production. Since petroleum has the highest weightage in the core sector index, the overall growth rate of 4 percent in January came down to 2.3 percent in February due to the decline in these three sectors.
However, if seen from the perspective of economic experts, these figures show the tremendous resilience of the Indian economy. On one hand, there is pressure on the oil and gas sector, on the other hand, strong sectors like steel, cement, coal and fertilizer have taken the entire responsibility on their shoulders and have not allowed the wheel of development to stop.