The monthly fall of the main sector in March is the biggest in 8 years
NEW DELHI: The eight core industries, accounting for more than 40% of the Industrial Production Index (PII), fell 6.5% in March, the biggest monthly decline since the series was built in 2011-12, as the deadly coronavirus. it hit production in all sectors and highlighted future pain for the industrial sector.
Coal was the only segment that registered growth, as the remaining seven experienced lower production with cement, steel and fertilizers, which registered a double-digit decrease. Although the national blockade began in the last week of March, several states had taken steps before and companies had begun to readjust their production, taking into account the spread of the virus.
Including the previous series (which is not strictly comparable), this is the strongest monthly decline since April 2005. Economists warned that the central sector index paints a bleak picture for IIP and that the situation could deteriorate in April, when there was a national blockade.
The 40-day blockade has stalled economic activity, but now the Center has allowed some manufacturing units to restart, while there are expectations that there will be a staggered exit from the blockade.