Core sector growth slows to 5.4% in July from 6% in June

The output of eight core infrastructure sectors grew 5.4% in July, slowing from 6% expansion in the previous month, according to official data released on Thursday.

The Index of Core Industries (ICI), which accounts for 40.27% of the weight of items included in the Index of Industrial Production (IIP), recorded a cumulative growth of 4.3% during April-July 2026, compared with 1.5% in the year-ago period.

In July, iron ore production recorded the highest growth of 29.5%, followed by cement at 13.1% and electricity at 9%.

Coal output grew 7.6%, steel 2.9% and refinery products 2.7% during the month.

On the other hand, natural gas, crude oil and fertiliser production contracted by 3.7%, 5.3% and 8%, respectively.

Iron ore, electricity and cement were the major drivers of the overall growth in the core sector during recent months, the commerce and industry ministry said.

The eight core industries comprise coal, crude oil, natural gas, refinery products, fertilisers, steel, cement and electricity.

The final index for June showed core sector growth at 6%, with iron ore output rising 44.5%, electricity 11.4% and cement 9.9%.

The provisional ICI for August 2026 is scheduled to be released on September 21.