The slowdown in core sector growth was due to slowdown in the growth of Coal, Steel, Cement and Electricity industries.

In general, the negative growth in October, 2015 of Crude Oil and Natural Gas was inter-alia, due to ageing fields, water / sand ingress, environmental problems, etc. and that of Refinery Products was due to shut down of certain units. Further, the decline in production of Steel was mainly on account of on-going work related to modernization / upgradation / commissioning of new (brownfield) capacities, downfall in domestic steel consumption and rise in imported material.

The Government is taking steps to raise growth in these industries which inter-alia, include measures relating to policy, procedures, improving infrastructure and ensuring availability of required inputs.

This information was given by the Minister of State (Independent Charge) in the Ministry of Commerce & Industry Smt. Nirmala Sitharaman in a written reply in Rajya Sabha today.

Core sector slowdown: government outlines policy and infrastructure measures to revive coal, steel, cement and electricity growth. Slowdown in growth of Coal, Steel, Cement and Electricity in October 2015 resulted from operational and structural issues: Crude Oil and Natural Gas decline due to ageing fields, water/sand ingress and environmental problems; Refinery Products fell after unit shutdowns; Steel output decreased amid modernization works, weaker domestic consumption and higher imports. The Government proposes policy and procedural measures to improve infrastructure and ensure availability of required inputs to raise growth in these industries.