IIP Growth Stays At 4% In September, Manufacturing Sees Uptick

India's manufacturing sector grew by 4.8% in September, compared to 3.8% in August.

India's manufacturing sector grew by 4.8% in September, compared to 3.8% in August.(Representative image. Photo source: Unsplash)

India's industrial output grew stayed at 4% in September, same as the preceding month, with the manufacturing segment logging a notable uptick, according to the Index of Industrial Production (IIP) data released by the Ministry of Statistics and Programme Implementation on Tuesday.

Manufacturing activity grew by 4.8% on an annual basis in September, compared to 3.8% last month. Within the manufacturing sector, 13 out of 23 industry groups recorded a positive growth in September 2025. This comes ahead of festive season push where companies place order to meet the rising demand.

In addition, the government's GST overhaul also helped the industry as it boosted demand for products.

Mining output, another key component of the IIP, declined 0.4% year-on-year in September versus a rise of 6.6% last month.

Electricity production increased 3.1% as against 4.1% in the previous month. This comes as many states in India saw heavy rainfall leading to less use of electricity.

IIP Internals (Use-Based)

  • Primary goods output expanded by 1.4% in September versus a rise of 5.4% in the preceding month.

  • Capital goods grew by 4.7% versus 4.5% in September.

  • Intermediate goods grew 5.3% versus a growth of 5.2% in the preceding month.

  • Infrastructure goods grew 10.5% versus 10.4% last month.

  • Consumer durables grew 10.2% versus 3.5% in the previous month.

  • Consumer non-durables output fell 2.9% versus a fall of 6.4% in the previous month.

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WRITTEN BY
Pratiksha Thayil
Pratiksha covers markets and business news at NDTV Profit. She has a keen i... more
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