India’s core industries grew by 4% in December 2024, which was a minor decrease from the 4.4% growth that was observed in November. According to this data, which was made public by the Commerce Ministry on January 31, the core sector is still growing for the fourth straight month, albeit at a slower rate than in prior months.
decreased from 7.5% in November to a 5.3% increase. This illustrates the ongoing need for coal, which is necessary for industrial operations and the production of energy.
increased by 5.1%, up from 4.4% in November, suggesting that the manufacturing and construction industries are seeing strong activity.
increased by 5.1% as well, from 4.4%, indicating robust energy demand in the context of continuous economic activity.
saw a notable slowdown, expanding by just 4% as opposed to a much greater 13.5% in November, which could be a hint of difficulties facing the building industry.
recovered marginally from a 2.1% contraction in the previous month, rising by 0.6%.
declined by 1.8%, underscoring the persistent difficulties in this industry.
2.8% and 1.7% growth rates were recorded, respectively, however these numbers clearly show a decline from prior months.
Since the core industries account for almost 40% of India’s industrial production, their success is vital to the country’s overall economic stability. The Index of Industrial Production (IIP), which is frequently watched by both economists and policymakers, may be impacted by the current slowdown. With GDP growth dropping to a seven-quarter low of 5.4%, recent patterns point to a wider economic slowdown, leading to updated projections for future economic growth.
The notable drop in cement production raises questions about future infrastructure development and economic momentum as India strives for greater growth targets in the upcoming fiscal years, even as other sectors like coal, steel, and electricity are seeing good growth.
