Core sectors grew at a five-month high of 5% in June 2026 as per new and improved index

📌 Summary:

• Growth in India's core industrial sectors accelerated to 5% in June 2026 — the fastest pace in five months

• This is the inaugural release of a NEW and updated series of the Index of Core Industries (ICI), released by the Ministry of Commerce and Industry on July 20, 2026

• Base year revised from 2011-12 to 2022-23, bringing the index closer to the current structure of the economy

• Iron ore has been added as a new sector, taking the total from eight to NINE core sectors

• Sectoral weights and estimation methodology have also been updated in the new series

• Significance: a revised base year corrects for structural change and outdated weights; the earlier 2011-12 base had grown stale relative to today's industrial composition

🎯 UPSC Relevance: GS3 (Indian Economy — infrastructure, industrial growth, economic indicators). Base-year revision of macro indices (ICI, IIP, CPI, GDP) is a recurring theme; understanding why base years are revised and what iron ore's inclusion signals about India's industrial structure is valuable for both Prelims facts and Mains analysis of data quality in policymaking.

📝 Prelims Facts:

• The Index of Core Industries (ICI) is released by the Office of the Economic Adviser, Ministry of Commerce and Industry

• New base year: 2022-23 (earlier 2011-12)

• Number of core sectors raised from 8 to 9 with the addition of iron ore

• Traditional eight core industries: coal, crude oil, natural gas, refinery products, fertilisers, steel, cement and electricity

• Core sectors carry a large weight in the Index of Industrial Production (IIP)

• June 2026 core sector growth: 5%, a five-month high

🔑 Key Term: Index of Core Industries (ICI) — a monthly production index tracking output of India's key infrastructure industries; it is a leading indicator of industrial activity and feeds into the IIP.