February Sees 2.3% Growth in India's Core Infrastructure Sectors
Synopsis
In February 2023, India's eight crucial infrastructure sectors reported a 2.3% growth year-over-year, highlighting positive production trends in key industries like cement and steel amid government investment in infrastructure projects.
Key Takeaways
The combined index of eight core industries in India grew by 2.3% in February 2023.
Steel production rose by 7.2% , and cement production increased by 9.3% .
Coal production saw an increase of 2.3% , while electricity generation rose by 0.5% .
Fertilizer production grew by 3.4% due to increased agricultural activity.
Declines were noted in crude oil and natural gas production.
New Delhi, March 20 (NationPress) The collective index of India's eight primary infrastructure sectors saw a growth of 2.3 percent in February this year, when compared to the same month last year, as per the data shared by the Commerce and Industry Ministry on Friday.
The production metrics for cement, steel, fertilizers, coal, and electricity demonstrated positive expansion in February.
Notably, steel output experienced a surge of 7.2 percent in February relative to the corresponding month in the previous year, while the cement sector showcased an impressive 9.3 percent growth, driven by heightened demand owing to significant governmental investments in major infrastructure initiatives.
Coal production witnessed a 2.3 percent increase, and electricity generation saw a modest rise of 0.5 percent.
Fertilizer production grew by 3.4 percent during this period, influenced by an upsurge in rabi sowing and improved farm incomes attributed to a stronger agricultural performance.
On a less positive note, the production of crude oil, natural gas, and petroleum refineries saw a decline compared to the same month last year. The decrease in crude production is primarily linked to the aging fields of ONGC and Oil India, while refinery output is influenced by the demand for petroleum products and available stocks with oil companies.
The final growth rate for the index of eight core industries for January 2026 was recorded at 4.7 percent. The cumulative growth rate for the index from April to February of the 2025-26 fiscal year now stands at 2.9 percent compared to the same timeframe last year.
The Index of Eight Core Industries (ICI) evaluates both the overall and individual performance of production across eight core sectors—coal, crude oil, natural gas, refinery products, fertilizers, steel, cement, and electricity. These eight sectors account for 40.27 percent of the weight in the Index of Industrial Production (IIP) and serve as a significant indicator of industrial growth within the economy.
Point of View
The latest growth figures for India's infrastructure sectors underscore a positive trend in industrial performance. The increase in production across key industries reflects strong governmental support for infrastructure development, suggesting a forward momentum in the economy. However, the decline in crude and natural gas production raises questions about sustainability and future energy needs.
NationPress
10 May 2026
Frequently Asked Questions
What are the eight core industries in India?
The eight core industries in India include coal, crude oil, natural gas, refinery products, fertilizers, steel, cement, and electricity.
What was the growth rate of steel production in February 2023?
Steel production in February 2023 saw an increase of 7.2% compared to the same month the previous year.
How does the Index of Eight Core Industries (ICI) impact the economy?
The ICI is a crucial indicator of industrial growth, measuring the performance of key sectors that contribute significantly to the overall economy.
What factors contributed to the growth in the cement sector?
The cement sector's growth can be attributed to heightened demand driven by large-scale government investments in infrastructure projects.
What was the cumulative growth rate for the index from April to February 2025-26?
The cumulative growth rate for the index during April to February 2025-26 stands at 2.9% compared to the same period last year.
