Key Details
MoSPI’s Index of Industrial Production (IIP) measures changes in output across the industries covered by the index. September’s figures are quick estimates and may be revised.
Indicator | Year-on-Year Growth |
|---|---|
Overall IIP, September 2026 | 6.7% |
Overall IIP, August 2026 — revised | 7.8% |
Manufacturing | 7.6% |
Electricity and gas supply | 11.2% |
Mining and quarrying | −6.2% |
IIP, April–September 2026 | 6.8%, against 4.4% a year earlier |
Within manufacturing, 17 of 23 industry groups grew in September. By use, intermediate goods grew 12.2% and capital goods 10.4%, while consumer non-durables grew 1.4%.
Manufacturing Grew Across Most Industry Groups
Manufacturing’s 7.6% growth provided the main support to September’s industrial output. Motor vehicles, trailers and semi-trailers were among its largest positive contributors, with output up 19.0%; electrical equipment grew 33.9%, and rubber and plastics products 19.9%. MoSPI identified auto components, passenger cars and commercial vehicles among the items contributing to motor-vehicle growth.
Electricity and gas supply grew 11.2%, although the two components moved in different directions: electricity generation increased, while gas supply contracted. Mining and quarrying fell 6.2%, largely reflecting a sharp decline in non-metallic minerals. Fuel-mineral output rose in September, even though it was lower over the April–September period.
Production Inputs Outpaced Consumer Non-Durables
The use-based breakdown shows where growth was strongest. Intermediate goods rose 12.2% and capital goods 10.4%. Intermediate, primary and capital goods—not simply the categories with the highest growth rates—were the three largest positive contributors to overall IIP growth, reflecting their different weights in the index.
Consumer durables grew 6.0%, but consumer non-durables rose only 1.4%. This contrast is useful for reading the breadth of industrial growth; production of capital goods, however, does not by itself establish that new investment has increased.
First-Half Growth Remains Above Last Year’s Pace
Despite easing from August’s revised 7.8% to 6.7% in September, IIP grew 6.8% over April–September 2026, compared with 4.4% in the same period a year earlier. The stronger first-half reading coexists with uneven sector performance: manufacturing and electricity and gas supply expanded, while mining contracted over the six months.
Policy Relevance
The release points to continued industrial growth, but not uniform strength. Mining’s decline and weak consumer non-durables output warrant attention alongside manufacturing’s broad gains and the rise in production inputs.
September’s numbers are quick estimates, compiled at a weighted response rate of 86.5%. Subsequent revisions and the persistence of growth across industry groups will help establish whether the stronger first-half performance is sustained.
Follow the Full Data Release Here: Quick Estimates of the Index of Industrial Production for September 2026