Archive · 21 Jul 2026
Core Sector Growth Hits Five-Month High in June
The production growth of nine important infrastructure sectors in India reached a five-month high of 5% in June 2026.
This growth was mainly due to increases in the production of cement, electricity, and iron ore.
The government has updated the base year for these statistics to 2022-23 and added iron ore to the list of core sectors.
While some sectors like cement and electricity saw significant growth, others like crude oil, natural gas, refinery products, and fertiliser saw a decline.
Experts have different opinions on whether this growth is a sign of a broad-based economic recovery or just a temporary improvement in a few sectors.
Production growth of nine core infrastructure sectors rose to a five-month high of 5% in June 2026.
The growth was driven by increases in cement, electricity, and iron ore production.
The base year for these statistics has been updated to 2022-23, and iron ore has been added as a new core sector.
Production of crude oil, natural gas, refinery products, and fertiliser declined during the month.
Experts have differing views on whether the growth is broad-based or just led by a few sectors.
- Who
- Commerce and Industry Ministry, ICRA Ltd
- What
- Production growth of nine core infrastructure sectors
- When
- June 2026
- Where
- India
- Why
- Due to an increase in output of cement, electricity, and iron ore
Optimistic View
Cautious View
Broad-Based Recovery
Optimistic View
The growth in core sectors indicates a broad-based recovery in the economy.
Cautious View
The growth is not broad-based and is led by only a few sectors.
Impact of West Asia Tensions
Optimistic View
The impact of West Asia tensions on the economy is minimal.
Cautious View
The continued adverse impact of West Asia tensions is affecting sectors like fertiliser production.
- Growth Rate
- 5%
- Base Year
- 2022-23
- New Sector Added
- Iron Ore
- Cement Production Growth
- 9.8%
- Electricity Production Growth
- 9.8%
- Iron Ore Production Growth
- 43.9%
- Coal Output Growth
- 1.4%
- Steel Output Growth
- 4.6%
- Fertiliser Output Trend
- Contracted for the fourth consecutive month