India’s eight core infrastructure sectors recorded a cumulative growth of 1.8% year-on-year in November, recovering from a flat performance in October, according to data released by the Ministry of Commerce and Industry on Monday.
A sharp rise in cement production, which grew 14.5% in November, signalled a pickup in construction activity across the country. This marked a strong acceleration from the 5.2% growth recorded in October.
Steel production also remained resilient, increasing 6.1% year-on-year in November, slightly higher than the 5.9% growth seen in the previous month. The coal sector showed signs of recovery as well, registering a 2.1% rise, after witnessing a steep 8.5% contraction in October.
Fertiliser output expanded by 5.6% in November, following a 7.4% increase in October, reflecting sustained demand from the agriculture sector.
However, performance across energy-related segments remained mixed. Petroleum refinery products, which carry the highest weightage in the core sector index, declined by 0.9%, reversing the 4.6% growth recorded in October.
Natural gas production continued its downward trend, slipping 2.5% in November after a 5% decline in the previous month. Crude oil production also fell 3.2%, compared to a 1.2% drop in October, highlighting ongoing challenges in domestic hydrocarbon output.
The power sector remained under strain, with electricity generation contracting by 2.2% in November, following a sharper 6.9% fall in October.
The eight core industries—coal, crude oil, natural gas, refinery products, fertilisers, steel, cement and electricity—account for about 40% of India’s Index of Industrial Production (IIP). Reflecting the weakness in core output in October, IIP growth had slowed to 0.4%, the lowest level in the past 14 months.
The slowdown in October was largely attributed to fewer working days due to major festivals, including Dussehra, Diwali and Chhath Puja. Data for IIP growth in November is expected to be released later this month.