India’s output across eight core industries grew 4.8 per cent year-on-year in August 2026, easing from the revised 5.0 per cent growth recorded in July, according to provisional data released by the Ministry of Commerce and Industry. The Index of Core Industries (ICI), which tracks eight key infrastructure sectors, accounts for a significant share of the Index of Industrial Production.

Cement production led the expansion with growth of 12.5 per cent, followed by electricity at 11.6 per cent and iron ore at 5.5 per cent. Steel output increased 3.4 per cent, while refinery products rose 2.6 per cent during the month. The ministry identified cement, electricity and iron ore as the main contributors to overall core sector growth in recent months.

The gains were partly offset by contractions in several sectors. Coal output declined 3.8 per cent year-on-year, while natural gas and crude oil production fell 4.9 per cent and 3.6 per cent, respectively. Fertiliser production recorded the sharpest decline, falling 12.4 per cent in August.

Cumulative growth in the ICI during April-August 2026 stood at 4.3 per cent, compared with 2.4 per cent in the corresponding period a year earlier. Steel output increased 4.1 per cent during the period, while cement and electricity production grew 10.3 per cent and 9.6 per cent, respectively.

Coal, natural gas, crude oil, refinery products and fertilisers recorded negative cumulative growth during April-August. Their contractions stood at 3.2 per cent, 4.4 per cent, 4.1 per cent, 1.4 per cent and 6.7 per cent, respectively. The ministry also revised the final ICI for July to 120.8 from the earlier provisional estimate of 121.2, resulting in a downward revision in the month’s growth rate to 5.0 per cent from 5.4 per cent.