India’s industrial output, as measured by the Index of Industrial Production (IIP), expanded by 4% in September 2025, maintaining the same pace as August, according to the Ministry of Statistics and Programme Implementation (MoSPI).
The Quick Estimate of IIP stood at 152.8, up from 146.9 a year earlier, indicating steady growth across major sectors.
Manufacturing Leads Growth; Mining Contracts Slightly
Among the three key sectors, manufacturing recorded a strong growth of 4.8%, followed by electricity, which rose 3.1%. However, mining output slipped marginally by 0.4%, reflecting weaker extraction activity.
Out of 23 manufacturing industry groups, 13 posted positive growth, led by:
- Electrical equipment (up 28.7%)
- Motor vehicles, trailers, and semi-trailers (up 14.6%)
- Basic metals (up 12.3%)
These gains were driven by higher production of mild steel sheets, transformers, electric heaters, and auto components.
Use-Based Analysis: Infrastructure and Durables Lead
Under use-based classification:
- Infrastructure/construction goods grew 10.5%
- Consumer durables expanded 10.2%
- Intermediate goods rose 5.3%
- Capital goods increased 4.7%
- Primary goods saw modest growth of 1.4%
- Consumer non-durables, however, declined 2.9%
Reliable Data and Economic Outlook
MoSPI reported a weighted response rate of 88.67% for September and 92.61% for August, underscoring the reliability of the estimates.
Experts say the steady 4% industrial growth signals sustained manufacturing momentum and infrastructure activity, supported by domestic demand and improving supply conditions.
The next IIP release, covering October 2025, will be published on November 28, 2025.
