India's core sector slows to 4.8% in August

AI Summary

India's core sector growth slowed to 4.8% in August 2026 from 5.0% in July, with positive growth in cement, electricity, iron ore, steel, and refinery products. Negative growth was seen in coal, natural gas, crude oil, and fertilizers, indicating mixed performance in key industrial sectors.

India’s core sector output growth slowed to 4.8% year-on-year in August 2026 from 5.0% in July, according to provisional data released by the government on Monday.The eight core industries had recorded 5.4% growth in July based on the provisional estimate. The final July index revised the growth rate down to 5.0%, the government said.Five of the eight core industries recorded positive year-on-year growth in August. Cement output rose 12.5%, electricity 11.6%, iron ore 5.5%, steel 3.4% and refinery products 2.6%.<iframe src="https://economictimes.indiatimes.com/dynamicchart?tab=INFOUT&year=3&type=line" width="100%" height="520" frameborder="0" scrolling="yes" border="0"></iframe>Coal, natural gas, crude oil and fertilisers recorded negative growth during the month.Iron ore, electricity and cement were the major drivers of overall growth in the Index of Core Industries (ICI) in recent months, according to the government.The cumulative growth of the core sector during April-August 2026 stood at 4.3% on a provisional basis, compared with 2.4% in the corresponding period of the previous year.The final index for July was revised to 120.8 from the provisional estimate of 121.2. Consequently, the year-on-year growth rate for July was revised to 5.0% from 5.4%.The eight core industries: coal, crude oil, natural gas, refinery products, fertilisers, steel, cement and electricity, account for 40.27% of the weight of items included in the Index of Industrial Production (IIP).