New Delhi New Delhi: The output of the eight core infrastructure sectors, which account for two-fifths of India’s industrial output, grew 0.5% year-on-year in April, the lowest in the last eight months. It registered 6.9% in April 2024, while the growth in March 2025 was revised upwards from 3.8% to 4.6%. Out of the eight core industries, only two—coal and natural gas—recorded a sequential rise in output during April, according to provisional data released by the Ministry of Commerce and Industry on Tuesday. The core sector output contributes 40.27% to the Index of Industrial Production (IIP). To be sure, India’s industrial output grew again in March, recovering from a six-month low in February, according to provisional data released by the Ministry of Statistics and Programme Implementation (MoSPI) last month. Industrial output grew 3% year-on-year in March, slightly higher than the 2.9% growth in February. The previous low was zero, recorded in August 2024.
Coal, gas output rises Interestingly, of the eight core industries, only coal and natural gas recorded a month-on-month rise in production in April.Coal production rose 3.5% year-on-year in April, as against a 1.6% rise in the previous month. Natural gas production rose 0.4%, as against a 12.7% decline in March.Output declined in April across three sectors – crude oil, refinery products and fertilisers.
Crude oil production fell 2.8% year-on-year in April, as against a 1.9% decline in March. Refinery output fell 4.5% in April, as against a 0.2% rise in the previous month. Fertiliser production declined 4.2%, as against a 8.8% rise in March.
Steel, cement and electricity output recorded growth in April, although it was slower than the previous month. During April, steel output grew by 3%, cement by 6.7% and electricity by 1%.Interestingly, India’s manufacturing sector expanded at the fastest pace in 10 months in April, driven by strong demand and a sharp rise in output.The HSBC India Manufacturing Purchasing Managers’ Index (PMI) compiled by S&P Global rose to 58.2 in April from 58.1 in March and 56.3 in February. The index stood at 57.7 in January and 56.4 in December. A reading above 50 indicates expansion, and below 50 contraction. Bank of Baroda chief economist Madan Sabnavis said, “Core sector growth at 0.5% is quite disappointing, even though the base effect was strong.” Infrastructure-based industries, cement and steel had recorded growth of 6.7% and 3%, respectively. Construction activity has helped sustain production.
