The manufacturing sector, which carries the highest weight in the index, expanded by 4.8 percent during the month. Electricity generation posted a stronger 5.1 percent growth, while mining registered a 4.3 percent increase year-on-year.
Manufacturing Leads the Momentum
Within the manufacturing sector, 14 out of 23 industry groups at the two-digit National Industrial Classification (NIC-2008) level recorded positive growth in January.
The top contributors included manufacture of basic metals, which grew by 13.2 percent. Production of flat products of alloy steel, MS slabs and hot-rolled coils significantly boosted this segment.
The manufacture of motor vehicles, trailers and semi-trailers also posted a strong 10.9 percent growth. Higher output of auto components, commercial vehicles and bus chassis supported the rise.
Additionally, manufacture of other non-metallic mineral products expanded by 9.9 percent, driven largely by increased production of cement, cement clinker and stone chips — a positive sign for infrastructure activity.
Use-Based Classification Signals Infrastructure Push
Data under the use-based classification further highlights the role of infrastructure and construction activity in sustaining industrial growth.
Infrastructure and construction goods recorded a sharp 13.7 percent growth in January 2026 compared to the same month last year. Intermediate goods rose by 6 percent, while capital goods expanded by 4.3 percent.
Primary goods grew by 3.1 percent, whereas consumer durables posted a healthy 6.3 percent increase. However, consumer non-durables contracted by 2.7 percent, reflecting subdued demand in certain segments.
The indices for January 2026 stood at 167.9 for primary goods, 124.4 for capital goods, 182.8 for intermediate goods and 227.7 for infrastructure and construction goods.
Sectoral Snapshot
Mining output index reached 157.2 in January 2026, compared to 150.7 a year earlier. Manufacturing stood at 167.2, while electricity climbed to 212.1, reflecting improved power generation amid rising demand.
Cumulatively, during April to January of the current fiscal year, the general index recorded a 4 percent growth over the corresponding period of the previous year.
The quick estimates are compiled based on data received from various source agencies and are subject to revision as more comprehensive data becomes available. December 2025 figures have already undergone final revision in the latest release.
Response Rates and Next Release
MOSPI stated that the weighted response rate for January 2026 stood at 89.53 percent, while December 2025 data was finalised with a response rate of 92.65 percent.
The next release of the Index of Industrial Production for February 2026 is scheduled for March 30, 2026.
