India’s industrial output rebounded in September, registering a 3.1% growth in the Index of Industrial Production (IIP). This marked a recovery from August’s 0.1% contraction and signaled positive momentum in key economic sectors.
Strong performance led by manufacturing
According to data from the Ministry of Statistics and Programme Implementation (MoSPI), manufacturing led the revival with a 3.9% increase. Electricity generation grew by 0.5%, and mining activity recorded a slight rise of 0.2%. Despite these gains, the growth rates were lower compared to last year, when manufacturing, electricity, and mining rose by 5.1%, 9.9%, and 11.5%, respectively.
Half-yearly industrial growth trends
In the April-September period, industrial output saw a cumulative 4% growth, a decline from the 6.2% recorded during the same period last year.
Sector contributions to September’s growth
Various sectors contributed to the overall industrial expansion in September. Primary goods increased by 1.8%, capital goods rose by 2.8%, and intermediate goods saw a 4.2% growth. Infrastructure and construction goods registered a 3.3% increase, while consumer durables surged by 6.5%. Consumer non-durables showed a more modest growth of 2%.
Continued challenges for the sector
While the September figures reflect a recovery, the industrial sector still faces challenges compared to last year’s higher performance levels. This growth, however, offers hope for economic stability and recovery following the contraction seen in August.
