India’s core sector output contracted by 1.8% on year, for the first time in 42 months, in August, primarily owing to the statistical effect of a high base, official data released on Monday showed. In August 2023, the core sector’s output had grown 13.4%; and in July 2024, it had grown by 6.1%. The y-o-y decline in output was contrary to expectations of around 2-3% growth during the month, say economists. Barring fertilisers and steel, the output of six other sectors–coal, crude oil, natural gas, refinery products, cement & electricity–contracted in August.