SDG 8: Decent Work and Economic Growth | SDG 9: Industry, Innovation and Infrastructure
Institutions: Ministry of Commerce and Industry
The combined Index of Eight Core Industries (ICI) registered a 3.0 % year-on-year increase in September 2025, according to provisional data released by the Office of Economic Adviser, Ministry of Commerce and Industry. Cumulative growth for April–September 2025-26 stands at 2.9 %, signalling modest industrial momentum after a year of volatile energy prices and uneven global demand.
Steel (+14.1 %) and cement (+5.3 %) continued to anchor growth, supported by infrastructure spending and real-estate activity. Electricity rose 2.1 %, while fertiliser output increased 1.6 %. However, energy-linked sectors weakened: coal (–1.2 %), crude oil (–1.3 %), natural gas (–3.8 %), and refinery products (–3.7 %) all recorded year-on-year declines.
Together, the eight core sectors, coal, crude oil, natural gas, refinery products, fertilisers, steel, cement, and electricity, account for 40.27 % of the IIP weight, making the ICI a leading proxy for industrial and infrastructure activity.
The 3 % growth highlights the divergence between construction-driven sectors and the energy-extractive economy. Strong performance in steel and cement suggests continued traction in infrastructure projects under the PM Gati Shakti and National Infrastructure Pipeline, while contractions in coal, gas, and refining point to supply bottlenecks and transition-related headwinds. For policymakers, sustaining overall industrial momentum will require:
– Diversifying energy supply chains and accelerating renewable generation to offset fossil-fuel slowdowns.
– Expanding logistics and transport infrastructure to reduce input-cost pressures.
– Strengthening linkages between infrastructure investment, manufacturing output, and job creation to support inclusive industrial growth.
What is the ICI? → The Index of Eight Core Industries tracks the monthly output of India’s largest industrial sectors that supply key inputs to manufacturing and construction. Changes in the ICI often precede trends in the broader Index of Industrial Production (IIP).
Follow the full news here: Core Industries Index September 2025