India Updates Core Industries Index: Iron Ore Joins Base 2022-23 Series

The government is set to launch a modernized Index of Core Industries, introducing a 2022-23 base year and expanding the sector basket to improve economic tracking.

NEW DELHI — The Office of Economic Adviser (OEA) under the Department for Promotion of Industry and Internal Trade (DPIIT) will release a revised Index of Core Industries (ICI) on July 20, 2026, at 5:00 PM. This major update shifts the index’s base year from 2011-12 to 2022-23, a move aimed at better reflecting the current structural composition of the Indian economy.

Expanding the Core Sector Basket

The revised series brings a significant expansion to the industrial tracking framework. In recognition of its substantial role in industrial growth, iron ore has been officially included as a core industry. This addition increases the total number of industries tracked in the index from eight to nine.

According to the Ministry of Commerce and Industry, the decision to include iron ore follows extensive deliberations by a dedicated committee established in late 2025 to ensure the index remains a reliable and contemporary indicator of national industrial performance.

Methodological Refinements

The overhaul goes beyond just changing the base year; the government has introduced several technical adjustments to improve data accuracy and eliminate measurement overlaps:

• Weighting Alignment: The weights for the new ICI (2022-23) series are derived from the Index of Industrial Production (IIP) 2022-23 series. These weights have been redistributed on a pro-rata basis to ensure the total equals 100.

• Steel Sector Consistency: To align with the broader IIP, the compilation of the Steel Index will now utilize gross production data, replacing the net production data used in the 2011-12 series.

• Coal Sector Streamlining: In a move to eliminate double counting, the coal index will now exclusively track raw coal. Coal middlings and washed coal—both derived from raw coal—have been excluded from the new basket.

Why It Matters

For policymakers, investors, and analysts, the shift to a 2022-23 base year is essential for capturing recent technological advancements and shifts in production patterns that the older 2011-12 series could no longer accurately represent. By aligning the core index with updated IIP and macroeconomic datasets, the government aims to provide a more robust and granular view of the nation's infrastructure and industrial health.

Official Sources

• Office of Economic Adviser (DPIIT), Ministry of Commerce & Industry

• Press Information Bureau (PIB)

• Ministry of Statistics and Programme Implementation (MoSPI)

"The revised series will replace the existing ICI series... [providing] a more accurate and relevant measure of India's industrial performance for informed policy-making and economic analysis," organizers stated regarding the transition.

Key Facts at a Glance

• Base Year Shift: Updated from 2011-12 to 2022-23.

• Sector Expansion: Iron ore added to the list, increasing core industries from 8 to 9.

• Data Coverage: The release will include provisional data for June 2026 and a 38-month historical back series (April 2023–May 2026).

• Methodology: Introduction of gross production tracking for steel and the removal of coal by-products to prevent double counting.

FAQ

1. Why was the base year changed to 2022-23? The 2011-12 series no longer captured the structural shifts, technological progress, and new production capacities that have defined the Indian economy over the last decade.

2. Which industry was added to the core index? Iron ore has been included as the ninth core industry due to its critical contribution to industrial output.

3. Will historical data be available under the new series? Yes, the government will publish a 38-month back series covering data from April 2023 through May 2026 to ensure analytical continuity.

4. How does this impact the tracking of coal production? The new index tracks only raw coal, excluding middlings and washed coal to avoid double counting and improve data precision.