India’s Core Sector Growth Rises To Highest In 15 Months In August

India's Core Sector Growth Rises To Highest In 15 Months In August
September 22, 2025

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India’s Core Sector Growth Rises To Highest In 15 Months In August

The output of India’s eight core sectors increased 6.3% year-on-year in August, fastest growth in over 15 months, according to the official data released on Monday. In comparison, the eight core sectors growth in July stood at 2%.

The surge was driven by a jump in coal output, as the sector logged a growth of 11.4%, as against a decline of 12.3% in July.

The momentum in steel output also continued, as production grew by 14.2% on an annualised basis in August. This was, however, lower in comparison to 16.6% in the preceding month.

Electricity output rose by 3.1% in August, lower as compared to a 3.7% growth in July.

Apart from steel, coal and electricity, India’s eight core sectors also comprise of fertilisers, refinery products, natural gas, crude oil and steel. These eight sectors comprise 40.27% of the weight of items included in the Index of Industrial Production.

In August, the fertilisers output rose by 4.6%, higher as compared to 2% growth in July. The output of refinery products sector turned positive, as it rose by 3% as against a decline of 1.1% in the preceding month.

The degrowth in natural gas output continued, as it shrunk by 2.2% in August after decelerating by 3.2% in July. Crude oil output contracted by 1.2% after a slip of 1.3% in the preceding month.

Meanwhile, cement output grew at 6.1% in August, lower in comparison to 11.6% growth in July.

So far in this financial year, India’s core sector cumulatively logged an output growth of 3.7%, higher as compared to 2.8% in the corresponding period of the last fiscal.

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