Growth in India's Core Industries in February 2024

Summary and Important Points:

1. Overall Growth:

• 6.7% increase in the Index of Eight Core Industries in Feb 2024 compared to Feb 2023.

1. Individual Sector Growth:

• Positive growth in Coal, Natural Gas, Cement, Steel, Crude Oil, Electricity, and Refinery Products.

1. Significant Contributors:

• Coal and Steel sectors with 11.6% and 8.4% growth, respectively, showing notable increases.

1. Electricity Production:

• 6.3% growth, indicating a steady demand and supply.

1. Cement Industry:

• Notable 10.2% increase, reflecting growth in construction and infrastructure.

1. Fertilizers Sector:

• Declined by 9.5%, marking the only sector with a decrease.

1. Annual Cumulative Growth:

• 7.7% growth from April to February, 2023-24 compared to the previous year.

1. Crude Oil Production:

• Slight increase of 7.9%, with a modest cumulative growth of 0.5%.

Additional Information:

• Index of Eight Core Industries (ICI): Measures performance of Cement, Coal, Crude Oil, Electricity, Fertilizers, Natural Gas, Refinery Products, and Steel, accounting for 40.27% of the weight in the Index of Industrial Production (IIP).

• Significance: Core industries are crucial for the overall industrial performance, directly affecting the IIP.

• Fertilizer Decline: The decrease in the fertilizer sector could impact agricultural productivity and needs attention for corrective measures.

Examination Perspective and Concise Points for Use:

• Understanding the role of core industries in India's economic framework is essential for assessing industrial and economic health.

• The growth in core sectors like steel and coal can be indicative of broader economic activity and infrastructure development.

• The decline in the fertilizer sector might have implications for agriculture and policy adjustments.

Key Words to Remember:

• Core Industries

• Index of Eight Core Industries

• Economic Growth

• Sectoral Performance

• Industrial Production

Link to Article : Press Information Bureau (pib.gov.in)

Released On : 27 March 2024