India’s industrial output, measured by the Index of Industrial Production (IIP), registered a growth of 4% in September 2025, marking its slowest pace in three months. The data, released by the Ministry of Statistics and Programme Implementation, highlights a mixed trend across sectors.
Growth in September 2025 was led by the manufacturing sector, which saw an improvement of 4.8%. In contrast, mining output contracted by 0.4%, and the electricity sector grew at a slower 3.1%. The dip in overall IIP growth is attributed mostly to weaker performances in mining and electricity, affected by unseasonal weather and supply issues. In comparison, IIP growth was 3.2% during September 2024.
During the first half of the financial year, industrial output growth averaged 3%, slower than the previous year’s 4.1%. The moderation is caused by base effects and sector-specific disruptions, such as GST changes and rainfall impacting mining activity.
Notably, consumer goods and related industries showed a mixed pattern. Manufacturing received a boost from electronics, electrical equipment, and automobiles, while consumer non-durables and pharmaceuticals lagged behind.
Key Sector-wise Growth in September 2025
- Manufacturing: +4.8%
- Mining: -0.4%
- Electricity: +3.1%
- Overall IIP: +4%
Despite the slower pace, India’s industrial growth remains relatively stable, showing resilience in manufacturing but calling attention to vulnerabilities in mining and electricity sectors. These factors may influence future economic and policy decisions as India seeks to maintain robust industrial growth.
