India's Core Sector Growth Surges to 7.9% in September
India's core sector growth jumped to 7.9% in September, led by iron ore and electricity. See which industries surged and which declined.
India's industrial momentum gained significant speed in September, with India core sector growth accelerating to 7.9 per cent. This marks a notable jump from the 5.9 per cent growth recorded in August, according to the latest data released by the Ministry of Commerce and Industry on Wednesday.
The Powerhouses: Which Sectors Led the Charge?
The Index of Eight Core Industries (ICI) saw a strong push from several key sectors. The standout performer was iron ore, which witnessed a massive year-on-year surge of 18.4 per cent in September.
Other sectors that contributed positively to the growth include:
- Electricity: Grew by 11.4 per cent.
- Coal: Increased by 10.7 per cent.
- Refinery Products: Rose by 10.3 per cent.
- Cement: Output climbed by 9.8 per cent.
- Steel: Production increased by 4.9 per cent.
The Ministry highlighted that coal, steel, refinery products, and iron ore have remained the primary engines driving the overall growth of the core sector in recent months.
The Laggards: Areas of Contraction
While most sectors flourished, the growth story was not uniform across the board. Three specific industries faced a downturn in September, recording negative growth:
- Fertilisers: Saw the sharpest decline, falling by 11.7 per cent.
- Natural Gas: Contracted by 4.6 per cent.
- Crude Oil: Experienced a slight dip of 1.4 per cent year-on-year.
The Bigger Picture: Cumulative Performance
Looking at the broader window from April to September 2026, the cumulative growth rate of the core industries index stood at 5.1 per cent. This is a significant improvement over the 2.5 per cent growth recorded during the same period in the previous year, based on provisional data.
Data Revisions and Future Outlook
The Ministry also provided a revision for the previous month. The final index for August 2026 was adjusted upward to 120.4 from the provisional 119.2. As a result, the year-on-year growth rate for August was revised to 5.9 per cent, up from the initial estimate of 4.8 per cent.
It is important to note that the figures released for September 2026 are currently provisional. Market analysts and industry stakeholders will be looking forward to the next set of data, as the Ministry of Commerce and Industry is scheduled to release the index for October 2026 on November 20.
The eight core industries—comprising coal, crude oil, natural gas, refinery products, fertilisers, steel, cement, and electricity—serve as critical components of the country's industrial production index, acting as a barometer for the health of the broader economy.