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Core sector grows 3.8% on steel and cement expansion

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Core sector grows 3.8% on steel and cement expansion

NEW DELHI: Core sector grew marginally in March on the back of expansion in electricity, steel and cement output, while crude oil and natural gas contracted.
Data released by the commerce and industry ministry on Monday showed the core sector spanning coal, crude, natural gas, refinery products, fertilisers, steel and cement grew by 3.8% in March, slightly higher than 3.4% in Feb, but below 6.3% in March last year.For the full fiscal year, the core sector grew by 4.4% lower than 7.6% recorded last year.
The core sector accounts for near;y 41% of the index of industrial output (IIP) and a robust performance of the segment has a bearing on IIP numbers to be released later this month. Govt has advanced the release of several data sets, including IIP. Experts expect IIP growth in March in the 4-4.5% range.
Electricity sector grew 6.2% during March, higher than 3.6% in Feb, due to higher demand due to the heatwave conditions.
“In disaggregated terms, the sequential trend was quite mixed, with fertilisers, coal, natural gas and refinery products reporting a moderation in year-on-year growth in March 2025 relative to the previous month,” said Aditi Nayar, chief economist at Icra.





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