India’s Index of Industrial Production (IIP) recorded a year-on-year growth of 2.7% in April 2025, as per the Quick Estimate released on May 28, 2025. This growth, driven primarily by the manufacturing sector, reflects the resilience of India’s industrial landscape.
Overview of IIP Growth in April 2025
Sectoral Performance
The IIP for April 2025 stood at 152.0, up from 148.0 in April 2024, marking a 2.7% growth. The three key sectors contributing to this index are Mining, Manufacturing, and Electricity. Their performance in April 2025 is as follows:
| Sector | Weight (%) | Index (April 2025) | Growth Rate (%) |
|---|---|---|---|
| Mining | 14.37 | 130.6 | -0.2 |
| Manufacturing | 77.63 | 149.5 | 3.4 |
| Electricity | 7.99 | 214.4 | 1.1 |
The manufacturing sector led the growth with a robust 3.4% increase, while mining saw a slight decline and electricity recorded modest growth.
Key Contributors in Manufacturing
Top Performing Industries
Within the manufacturing sector, 16 out of 23 industry groups at the NIC 2-digit level showed positive growth. The top contributors included:
- Manufacture of Machinery and Equipment n.e.c.: 17.0% growth, driven by items like machine tools and stationary engines.
- Manufacture of Motor Vehicles, Trailers, and Semi-Trailers: 15.4% growth, with significant contributions from auto components and commercial vehicles.
- Manufacture of Basic Metals: 4.9% growth, propelled by steel pipes, tubes, and alloy steel products.
These industries highlight the strength of India’s industrial output in specialized and high-demand sectors.
Use-Based Classification Insights
Performance Across Categories
The IIP’s use-based classification provides insights into the performance of different goods categories in April 2025:
| Category | Index (April 2025) | Growth Rate (%) |
|---|---|---|
| Primary Goods | 151.6 | -0.4 |
| Capital Goods | 114.3 | 20.3 |
| Intermediate Goods | 164.2 | 4.1 |
| Infrastructure/Construction Goods | 191.6 | 4.0 |
| Consumer Durables | 127.2 | 6.4 |
| Consumer Non-Durables | 148.4 | -1.7 |
The Capital Goods sector recorded an impressive 20.3% growth, indicating strong investment in industrial infrastructure, while Consumer Durables grew by 6.4%, reflecting robust consumer demand.
Key Highlights:
- India’s IIP grew by 2.7% in April 2025, as announced on May 28, 2025.
- Manufacturing led with a 3.4% growth, followed by Electricity at 1.1%, while Mining declined by 0.2%.
- Top manufacturing contributors: Machinery and Equipment (17.0%), Motor Vehicles (15.4%), and Basic Metals (4.9%).
- Capital Goods recorded the highest growth at 20.3% in the use-based classification.
- The next IIP release for May 2025 is scheduled for June 30, 2025.