New Delhi: Led by decline in output of coal, the eight key infrastructure industries registered a dismal growth of 0.1 per cent in October, the lowest in last five years.
The sector had recorded a growth of 7.2 per cent in October 2010.
The decline in growth of eight industries crude oil, petroleum refinery products, natural gas, fertilisers, coal, electricity, cement and finished steel-- indicate slowdown in economy, which has recorded a GDP growth of 6.9 per cent during July-September quarter, lowest in 9 quarters.
As per the data released by Commerce and Industry Ministry, barring electricity, cement and steel, all the segments registered negative growth in October 2011, raising concern for the industry and government.
The dismal performance of the infrastructure sectors with a weightage of 37.90 per cent in the overall industrial production is likely to weigh on the IIP numbers for October, scheduled to be released on December 12.
Economist and Ficci Secretary General Rajiv Kumar said the core sector numbers point towards slowdown in the economy.
"We are in troubled times. The government must focus on strong reform measures to prevent further deterioration," Kumar said.
The coal sector was the worst performer recording a negative growth of 9 per cent. Natural gas too showed a decline in production by 7.4 per cent while fertilisers were down 2.1 per cent.
The decline in growth was also witnessed in the cumulative first seven months of the current fiscal with April-October displaying an expansion of 4.3 per cent against 5.9 per cent in the corresponding period last year.
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