Lok Sabha Question No. 2042 (UNSTARRED), answered on 2018-07-30
Subject: Growth of Infrastructure Industries
Ministry: COMMERCE AND INDUSTRY
Asked by: KAMAL NATH, JYOTIRADITYA MADHAVRAO SCINDIA

## GOVERNMENT OF INDIA MINISTRY OF COMMERCE & INDUSTRY DEPARTMENT OF INDUSTRIAL POLICY & PROMOTION

## LOK SABHA

UNSTARRED QUESTION NO.2042.

TO BE ANSWERED ON MONDAY, THE 30 TH   JULY,  2018.

## GROWTH OF INFRASTRUCTURE INDUSTRIES

## 2042.  SHRI KAMAL NATH:

SHRI JYOTIRADITYA M. SCINDIA:

Will the Minister of COMMERCE AND INDUSTRY be pleased to state:

## वाणिज्य एवं उद्योग मंत्री

- (a) whether  the  growth  of  infrastructure  industries  in  several  sector  dropped during the last year;
- (b) if so, the details thereof and the factors responsible therefor;
- (c) whether  the  Government  has  since  examined  the  factors  responsible  for decline  in  growth  of  infrastructure  industries  in  depth  and  proposes  to  take any corrective measures; and
- (d) if so, the details thereof?

## ANSWER

## वाणिज् य एवं उद्योग मंत्रालय में राज् यमंत्री (श्री सी.आर. चौधरी) THE MINISTER OF STATE IN THE MINISTRY OF COMMERCE & INDUSTRY (SHRI C.R. CHAUDHARY)

As per the Index of Eight Core Industries (ICI), the details of growth of index Coal, Crude Oil, Natural Gas, Refinery Products, Fertilizers, Steel, Cement and Electricity for the year 2017-18 over the year

(a) & (b): of eight core industries viz. 2016-17  are given in the table below:

| Growth rate of Index of Eight Core Industries (in %) (base year 2011-12)   | Growth rate of Index of Eight Core Industries (in %) (base year 2011-12)   | Growth rate of Index of Eight Core Industries (in %) (base year 2011-12)   | Growth rate of Index of Eight Core Industries (in %) (base year 2011-12)   | Growth rate of Index of Eight Core Industries (in %) (base year 2011-12)   | Growth rate of Index of Eight Core Industries (in %) (base year 2011-12)   | Growth rate of Index of Eight Core Industries (in %) (base year 2011-12)   | Growth rate of Index of Eight Core Industries (in %) (base year 2011-12)   | Growth rate of Index of Eight Core Industries (in %) (base year 2011-12)   | Growth rate of Index of Eight Core Industries (in %) (base year 2011-12)   |
|----------------------------------------------------------------------------|----------------------------------------------------------------------------|----------------------------------------------------------------------------|----------------------------------------------------------------------------|----------------------------------------------------------------------------|----------------------------------------------------------------------------|----------------------------------------------------------------------------|----------------------------------------------------------------------------|----------------------------------------------------------------------------|----------------------------------------------------------------------------|
| Year                                                                       | Coal                                                                       | Crude Oil                                                                  | Natural Gas                                                                | Refinery Products                                                          | Fertilizers                                                                | Steel                                                                      | Cement                                                                     | Electricity                                                                | Overall Index                                                              |
| 2017-18                                                                    | 2.6                                                                        | -0.9                                                                       | 2.9                                                                        | 4.6                                                                        | 0.03                                                                       | 5.6                                                                        | 6.3                                                                        | 5.3                                                                        | 4.3                                                                        |

Source: Office of Economic Adviser, DIPP

The figures for 2017-18 are provisional.

Out  of  the  eight  core  industries,  Crude  Oil  production  registered  a decline in 2017-18. The production of crude oil declined due to various reasons  which,  inter-alia,  include  less  than  envisaged  production, natural decline due to mature fields and reservoir issues in some of the fields, shutdown taken for maintenance activities, rise of water cut, etc.

- (c) & (d): Overall  growth  of  the  infrastructure  industries  is  interplay  of  many factors such as capacity utilisation, investment cycle, seasonal factors, policy  interventions,  domestic  and  global  growth  outlook  etc.  The Government  is  continuously  taking  steps  to  boost  industrial  growth including infrastructure sector which inter alia, includes putting in place a policy framework to create conducive business environment, strengthening infrastructure network and ensuring availability of required inputs. Foreign Direct Investment (FDI) policy and procedures have  been  simplified  and  liberalised  progressively.  The  Government has  also  taken  up  a  series  of  measures  to  improve  Ease  of  Doing Business. The emphasis has been on simplification and rationalization of the existing rules and introduction of information technology to make governance more efficient and effective.

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