Why Did Core Sector Growth Remain Unchanged in October?
Click to start listening
Synopsis
The performance of the Eight Core Industries in India remained stable in October 2023, with key sectors like steel and cement showing growth. This article delves into the factors influencing these trends, including infrastructure demand and production variances in other sectors.
Key Takeaways
- Core sector index held steady at 162.4
- Steel output increased by 6.7%
- Cement production rose by 5.3%
- Declines observed in crude oil and electricity
- Cumulative growth rate of ICI at 2.5%
New Delhi, Nov 20 (NationPress) The overall Index of Eight Core Industries stayed the same at 162.4 in October this year when compared to the index from the same month last year.
The production of fertiliser, steel, cement, and petroleum refinery products experienced positive growth in October, as reported by the Commerce and Industry Ministry on Thursday.
Steel output saw a significant increase of 6.7 per cent in October compared to the same month last year, driven by heightened demand for large-scale infrastructure projects initiated by the government.
For the period from April to October 2025-26, the cumulative growth in steel production rose by an impressive 10.3 per cent over the same timeframe last year.
Cement production also increased by 5.3 per cent in October 2023 compared to the previous year, attributed to the growing demand from major infrastructure and construction projects.
The cumulative index for cement rose by 7.3 per cent from April to October 2025-26 compared to the same period last year.
Fertiliser production showed a growth of 7.4 per cent in October versus the same month last year. Its cumulative index increased by 0.7 per cent during the April to October period.
Petroleum refinery products, including petrol, diesel, and LPG, saw a rise of 4.6 per cent in October compared to the previous year. On the other hand, crude oil production dropped by 1.2 per cent during the month, while natural gas output fell by 5 per cent. Coal production also declined by 8.5 per cent.
Electricity generation saw a dip of 7.6 per cent in October this year compared to the same month last year. The cumulative index for electricity generation fell by 0.1 per cent from April to October 2025-26 compared to the same period last year.
The final growth rate for the index of eight core industries for September was revised upwards to 3.3 per cent from the previous 3 per cent. The cumulative growth rate of the Index of Core Industries (ICI) during April to October 2025-26 is 2.5 per cent compared to the same period last year.
The Index of Eight Core Industries (ICI) assesses the combined and individual performance of eight core industries: Coal, Crude Oil, Natural Gas, Refinery Products, Fertilisers, Steel, Cement, and Electricity. These eight industries constitute 40.27 per cent of the weight of items included in the Index of Industrial Production (IIP).
Point of View
It is crucial to highlight that while the core sector's growth shows resilience in some areas, the decline in energy production raises concerns. This mixed performance reflects the complexities of India's economic landscape, necessitating careful monitoring and strategic planning.
NationPress
20/11/2025
Frequently Asked Questions
What does the Index of Eight Core Industries measure?
The Index of Eight Core Industries measures the combined and individual performance of eight key sectors: Coal, Crude Oil, Natural Gas, Refinery Products, Fertilisers, Steel, Cement, and Electricity.
What was the growth rate of steel production in October?
Steel production increased by 6.7 per cent in October compared to the same month last year.
How did cement production perform in October?
Cement production rose by 5.3 per cent in October 2023 compared to the previous year.
What are the implications of declining electricity generation?
The decline in electricity generation by 7.6 per cent in October could impact overall industrial productivity and economic growth.
What is the significance of the Index of Core Industries?
The Index of Core Industries is significant as it reflects the health of the industrial sector, influencing policy decisions and economic forecasts.
