Key Details
The provisional Index of Core Industries (ICI) measures year-on-year changes in production across nine industries. September’s stronger reading sits alongside uneven performance over the first half of FY 2026–27.
Measure | Growth |
|---|---|
Overall index, September 2026 | 7.9%, against a revised 5.9% in August |
Iron ore | 18.4% |
Electricity | 11.4% |
Coal | 10.7%, after a 3.8% decline in August |
Refinery products | 10.3%, up from 5.6% in August |
Fertilisers | −11.7% |
Natural gas | −4.6% |
Crude oil | −1.4% |
Overall index, April–September 2026 | 5.1%, against 2.5% a year earlier |
Coal’s Return to Growth Adds to September’s Expansion
Coal output moved back into growth after contracting in August. Iron ore recorded the fastest increase among the nine industries, while electricity and refinery products also grew strongly. Refinery products did not return to growthin September: their growth accelerated from 5.6% in August to 10.3%.
Cement grew 9.8% and steel 4.9% in September. At the same time, fertiliser, natural gas and crude oil production remained below their year-earlier levels. The overall increase therefore does not describe every core industry equally.
First-Half Growth Improves Despite Four Contractions
Across April–September 2026, core-industry growth reached 5.1%, up from 2.5% in the corresponding period a year earlier. Iron ore grew 21.2%, electricity 10.2% and cement 10.1% over the six months.
The first-half picture is less uniform than September’s headline suggests. Coal, natural gas, crude oil and fertilisers contracted over April–September, even though coal recovered in the latest month. The distinction matters: one strong monthly reading does not erase a sector’s decline over the year so far.
Policy Relevance
The ICI offers an early view of production in industries supplying power, fuel, construction and manufacturing. September’s growth points to stronger output across several of those inputs, but it is not a measure of the whole industrial economy or, by itself, proof of stronger demand downstream.
The divergence within energy production is particularly useful to track. Electricity and refinery output grew strongly, whereas domestic crude oil and natural gas output fell. For industrial planning, the next readings will show whether September’s coal recovery persists and whether first-half contractions begin to narrow.
Follow the Full Data Release Here: Provisional Index of Core Industries for September 2026 and Final Index for August 2026