
Manufacturing Fuels Industrial Momentum

The manufacturing sector emerged as the backbone of India’s industrial performance, with notable contributions from the basic metals (12.3%), electrical equipment (28.7%), and motor vehicles (14.6%) segments. The production of MS slabs, HR coils, transformers, and electrical apparatus played a key role in boosting output.
The IIP for manufacturing stood at 154.3 in September 2025, compared to 147.2 in the same month last year. Out of 23 industry groups, 13 reported positive growth, signaling a broad-based recovery across the industrial landscape.
Sectoral Snapshot: Mixed Performance in Mining and Electricity
While the manufacturing sector showed strong momentum, the mining sector witnessed a marginal contraction of 0.4%. The electricity sector recorded a moderate 3.1% growth during the same period. The overall IIP index for September 2025 stood at 152.8, up from 146.9 a year earlier.
Use-Based Classification: Infrastructure Leads the Way
Based on the use-based classification, the data revealed that Infrastructure and Construction Goods posted the highest growth at 10.5%, followed by Consumer Durables (10.2%) and Intermediate Goods (5.3%). However, Consumer Non-Durables saw a decline of 2.9%, reflecting muted demand in fast-moving consumer goods.
The indices for various categories stood at: Primary Goods (143.3), Capital Goods (122.0), Intermediate Goods (169.4), and Infrastructure Goods (197.6).
Revisions and Data Reliability
The Ministry noted that the IIP figures for August 2025 have been finalized based on updated data, while September’s figures are provisional and subject to revision. The weighted response rates for data compilation stood at 88.67% for September and 92.61% for August 2025.
The next release of IIP data, covering October 2025, is scheduled for November 28, 2025. The official report and detailed tables can be accessed on the MOSPI official website.
India’s Industrial Outlook: Steady But Uneven
Experts suggest that while India’s industrial activity remains on a stable footing, the uneven growth across sectors underscores the need for continued policy support, especially in consumer-driven and energy-intensive industries. The strong performance in infrastructure and capital goods indicates the government’s sustained focus on investment-led growth.
