Index of Industrial Production (IIP) growth rate for the month of September 2025 recorded at 4% year-on-year, unchanged from the quick estimate for August 2025. The Quick Estimates of IIP stands at 152.8 against 146.9 in September 2024.
Here are the key highlights.
The growth rates of the three sectors, mining, manufacturing and electricity for the month of September 2025 are (-)0.4%, 4.8% and 3.1% respectively.
Manufacturing remains key growth driver in September
The manufacturing sector continued to be the biggest contributor, posting a growth of 4.8% in September against 4% in the year-ago month. The sector showed resilience across key industries such as basic metals, electrical equipment, and automobiles. The production of basic metals rose 12.3%, electrical equipment surged 28.7%, and motor vehicles, trailers and semi-trailers increased 14.6% compared to the same period last year.
Rajeev Juneja, President of PHDCCI said, “The robust performance of the manufacturing sector was largely driven by double-digit growth in key industries such as the manufacture of basic metals, electrical equipment, computer, electronic and optical products, motor vehicles, trailers and semi-trailers, and wood and wood products.”
The factory output, measured in terms of the Index of Industrial Production (IIP), had expanded by 3.2% in September 2024.
The National Statistics Office (NSO) revised the industrial production growth to 4.1% for August 2025 from the provisional estimate of 4% released last month.
Power production rose by 3.1% in September 2025 against 0.5% expansion in the year-ago period.
During the April-September period (H1) of FY26, the country’s industrial production grew by 3% compared to 4.1% in the first half of 2024-25.