Context:
The Index of Eight Core Industries grew by 4.3% in November 2024, with Cement, Coal, and Steel showing growth, while Crude Oil and Natural Gas declined.
Index of Eight Core Industries (ICI):
- Measures combined and individual performance of production of 8 core industries
- 8 Core Industries – Cement, Coal, Crude Oil, Electricity, Fertilizers, Natural Gas, Refinery Products and Steel.
- The 8 Core Industries comprise 40.27 percent of the weight of items included in the Index of Industrial Production (IIP).
- Decreasing order of weightage: Refinery Products> Electricity> Steel> Coal> Crude Oil> Natural Gas> Cement> Fertilizers
- Monitoring – The Office of the Economic Adviser (OEA) under the Department of Industrial Policy and Promotion (DIPP), Ministry of Commerce and Industry compiles and releases the ICI monthly.
- Base Year – 2011-12.
Index of Industrial Production (IIP):
- It measures the industrial production for the period under review, usually a month, as against the reference period.
- Base year: 2011-2012
- Released by: National Statistical Office (NSO) under MoSPI, on a monthly basis
- Weightage system: Manufacturing (77.63%), Mining (14.37%), and Electricity (7.99%).
Source: PIB
Previous year question
In the ‘Index of Eight Core Industries’, which one of the following is given the highest weight?
[UPSC Civil Services Exam – Prelims 2015]
(a) Coal production
(b) Electricity generation
(c) Fertilizer production
(d) Steel production
Answer: (b)
Explanation: Previously, Electricity was having the highest weightage. Currently, Refinery Products has the highest weightage.