Economy & Market

India’s 8 core sectors shrink 5.2%

Published

8 years ago

January 11, 2019

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CARE Ratings reviews the index of eight core infrastructure industries. During the first half of this fiscal year, the eight core industries production grew by 1.3 per cent, 4.2 per cent lower than that in the comparable period a year ago.

The index of eight core infrastructure industries contracted sharply by 5.2 per cent in September 2019 (its lowest level since the beginning of the new base year (2011-12)). Deterioration in seven of the eight constituents weighed on the overall core sector growth with production of coal having declined by 21 per cent (highest among the constituents).

At the same time, higher production of fertilizers owing to restocking activities ahead of rabi season limited the decline in the core sector index. The core sector growth for August 2019 was revised upwards to 0.1 per cent from the earlier contraction of -0.5 per cent. During the first half of this fiscal year, the eight core industries production grew by 1.3 per cent, 4.2 per cent lower than that in the comparable period a year ago.

Industry-wise growth
Coal production contracted sharply by 21 per cent in September 2019 over a contraction of 8.6 per cent in the previous month and growth of 6.4 per cent in September 2018. Prolonged monsoons have weighed on the coal production.
Cement production contracted for the second consecutive month by 2.1 per cent over the 5.1 per cent contraction in the previous month and 11.8 per cent growth in the comparable period a year ago. Unfavourable base effect and prolonged monsoon weighed on the cement production during the month.
Steel production fell to a nearly 4 year low of (-) 0.3 per cent over the 5 per cent growth in the previous month and 3.2 per cent growth in the corresponding period a year ago. This can be attributed to slowdown in demand from the end user industries owing to monsoons.
Electricity production continued to witness contraction in this month as well.
It declined by 3.7 per cent as against the 0.9 per cent contraction in the previous month. High base effect and lower commercial demand given the low industrial growth has led to lower electricity production.
Refinery products, having the highest weight of 28 per cent, contracted by 6.7 per cent as against the positive growth of 2.6 per cent in the previous month and 2.5 per cent in September 2018. Planned shutdowns for upgradation and maintenance along with inventory pile up of refinery products and extended monsoons came in the way of refinery production.
Growth in fertilizer production rose to an eight-month high of 5.4 per cent during September 2019, higher than the 2.9 per cent growth in August 2019 and 2.5 per cent growth in the corresponding period a year ago. Restocking activities ahead of the rabi sowing season supported the fertilizer production.
Crude oil production contracted by 5.4 per cent in September 2019, same as of last month.
Natural gas contracted to a 14-month low at 4.9 per cent in September 2019 as against the 3.9 per cent contraction in the previous month and 1.7 per cent contraction in the comparable period a year ago.

CARE Ratings’ view
Negative growth in IIP cannot be ruled out in September 2019 given that the core sector has contracted sharply and it constitutes 40 per cent of items included in IIP.

For further information:
Madan Sabnavis, Chief Economist
Email: madan.sabnavis@careratings.com
Tel: 91-22-68374433

Manisha Sachdeva, Economist
Email: Manisha.sachdeva@careratings.com
Tel: 91-22-68374346
Mradul Mishra, Media Contact
Email: mradul.mishra@careratings.com
Tel: 91-22-68374424
Corporate office:
4th Floor, Godrej Coliseum,
Somaiya Hospital Road,
Off Eastern Express Highway,
Sion (East), Mumbai – 400 022.
Tel: +91-22-6754 3456
Fax: +91-22-6754 3457
Email: care@careratings.com

Disclaimer: This report is prepared by CARE
Ratings Ltd. CARE Ratings has taken utmost care to ensure accuracy and objectivity while developing this report based on information available in public domain. However, neither the accuracy nor completeness of information contained in this report is guaranteed. CARE Ratings is not responsible for any errors or omissions in analysis/inferences/views or for results obtained from the use of information contained in this report and especially states that CARE Ratings has no financial liability whatsoever to the user of this report.
Source: CARE Ratings’ Core Sector
September 2019 report

Concrete

Fornnax Wins AIRIA’s Special Export Award for Rubber Machinery in 2025-26

Published

5 days ago

October 19, 2026

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Fornnax Technology Pvt. Ltd. has been honoured with the Special Export Award – Rubber Machinery for 2025–26 by the All-India Rubber Industries Association (AIRIA), in recognition of its highest exports of tyre recycling plants to the European region.

With more than a decade of experience in India’s tyre recycling industry, Fornnax has contributed to the development of advanced recycling technologies and infrastructure. The company currently holds a 90% market share in India’s domestic tyre recycling sector, while exports account for 30% of its business, spanning markets such as Europe, Australia and the GCC.

The award marks another milestone for Fornnax, whose tyre recycling lines and advanced shredding technologies are supporting the growth of the circular economy in India and international markets.

Commenting on the recognition, Mr. Jignesh Kundaria, Founder and Director of Fornnax, said:

“This honour from AIRIA is a reflection of an incredible journey we have undertaken over the years. When we started Fornnax, there was no established recycling industry in India to follow. We chose to build for the future instead. Today, when you see India’s tyre recycling sector, it has already transformed into a dynamic, high-growth industry and we are extremely proud to have played our part in building it.”

Unlike standalone equipment suppliers, Fornnax focuses on developing complete, high-capacity recycling infrastructure. Its integrated systems combine multiple stages of shredding and size reduction to enable efficient, continuous operations. This system-level engineering approach helps recycling operators improve throughput, equipment reliability and operational consistency.

The recognition reinforces Fornnax’s commitment to developing engineering technologies that contribute to a more efficient and circular recycling ecosystem.

Looking ahead, the company aims to expand its international presence while continuing to develop advanced shredding and recycling solutions to address the growing volumes and evolving requirements of the global recycling industry.

For more information, visit: www.fornnax.com

Concrete

Wonder Cement appoints Mahesh Singh as VP Corporate Brand Communication

Published

2 weeks ago

October 9, 2026

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Singh brings 20+ years of brand and marketing experience, and will lead integrated corporate brand communication initiatives at Wonder Cement

New Delhi

Wonder Cement, a leading cement manufacturer, has appointed Mahesh Singh as Vice President – Corporate Brand Communication. In his new role, he will oversee corporate brand strategy and communication, including digital and performance marketing, public relations, trade, events, exhibitions, sports and experiential marketing.

Singh brings over two decades of experience across marketing and communications, with roles spanning the automotive industry, agencies and entrepreneurship. He spent more than a decade with Honda Motorcycle & Scooter India, working across integrated communication, media, digital, retail and consumer engagement. His stint also included helping build the company’s digital marketing capabilities.

He moved to dentsu X India as Vice President – Strategy & Planning, working across categories such as automotive, auto components, electric vehicles, FMCG, consumer electronics, BFSI, apparel and brand consulting. His responsibilities included media and marketing strategy, product launches, content, performance marketing and consumer activations.

Singh subsequently took an entrepreneurial route with Radiant Brands before joining Shriram Ltd (SPR Autotech) as Head – Marketing & Communications. There, his remit included brand and corporate strategy, communications, PR and ORM, retail identity, loyalty programmes and events.

At Wonder Cement, Singh will be responsible for bringing together the company’s corporate brand communication initiatives across digital, performance marketing, PR, trade, sports and experiential platforms. The role will focus on creating an integrated approach to communication across consumers, trade partners and other key stakeholders.

The appointment brings to Wonder Cement a marketer whose career has spanned the brand, agency and entrepreneurial sides of the communications ecosystem.

Wonder Cement, part of the RK Group, is a cement manufacturer with roots in Rajasthan and a focus on quality, trust and transparency. The company has grown to six manufacturing plants, and a cement capacity of 21.5 MTPA. With more than 2,000 employees and a network of over 5,000 dealers, its operations span manufacturing, distribution and customer engagement, with a focus on consistent product quality and efficient execution.

Concrete

JSW Cement commissions additional 1 MTPA grinding unit at Nagaur

Published

2 weeks ago

October 8, 2026

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With this commissioning, JSW Cement’s total cement grinding capacity has increased to 25.10 MTPA,
Mumbai

JSW Cement, one of India’s leading green cement producers and part of the diversified JSW Group, today announced the successful commissioning of an additional 1.00 MTPA cement grinding unit at Nagaur, Rajasthan. The commissioning marks another significant milestone in the Company’s growth strategy.

With this commissioning, JSW Cement’s total cement grinding capacity has increased to 25.10 MTPA, while its total clinker manufacturing capacity, including clinker capacity at its joint venture, JSW Cement FZC, stands at 9.74 MTPA.

JSW Cement had commenced operations in North India in March 2026 with the Nagaur Integrated Plant, comprising a 3.30 MTPA clinkerisation unit and 2.50 MTPA cement grinding unit. With the commissioning of the additional 1.00 MTPA cement grinding unit, the plant’s total cement grinding capacity has increased to 3.50 MTPA, enhancing the company’s ability to cater to the growing cement demand across Rajasthan, Haryana, Punjab and the National Capital Region (NCR). The expansion has been funded through a strategic mix of equity and long-term debt.

During the quarter ended 30th September 2026, JSW Cement has also commissioned the Alternate Fuel Handling System and the Waste Heat Recovery system (WHRS) at the Nagaur Integrated Plant.

Nilesh Narwekar, CEO, JSW Cement, said: “The commissioning of additional 1.00 MTPA grinding capacity at Nagaur is a key strategic priority for us and will accelerate JSW Cement’s expansion into North India. We look forward to servicing the growing needs of the region and contributing to the economic growth of Rajasthan, Haryana, Punjab and the NCR area. I am delighted to share that the company has commissioned this grinding unit within the expected timeline, showcasing our project execution capabilities. Further, the Alternate Fuel Handling System and the Waste Heat Recovery system (WHRS) are expected to substantially reduce our production costs going forward.”