India’s factories and industries showed solid growth in August 2025, with the Index of Industrial Production (IIP) climbing 4 percent compared to the same month last year. The Ministry of Statistics and Programme Implementation released the data on Monday, highlighting a slight uptick from July’s 3.5 percent rise.
The IIP hit 151.7 in August, up from 145.8 in August 2024. Officials compile this index using reports from factories and agencies, and they expect to revise these quick estimates later as more data comes in.
Diving into the sectors, mining led the way with a 6 percent jump, reaching an index of 113.5. Manufacturing grew 3.8 percent to 151.6, while electricity generation increased 4.1 percent to 221.1. These numbers point to steady momentum in India’s industrial output, a key driver of the country’s economic growth.
In manufacturing, 10 out of 23 groups posted gains over last August. Basic metals stole the show, surging 12.2 percent thanks to strong demand for mild steel slabs, hot-rolled coils, sheets, and steel pipes. Coke and refined petroleum products rose 5.4 percent, fueled by diesel, petrol, and liquefied petroleum gas. Motor vehicles, trailers, and semi-trailers climbed 9.8 percent, boosted by auto components, axles, and commercial vehicles.
Looking at use-based categories, primary goods expanded 5.2 percent to an index of 148.9, capital goods grew 4.4 percent to 112.1, and intermediate goods rose 5 percent to 170.4. Infrastructure and construction goods saw the biggest boost at 10.6 percent, hitting 200.8. Consumer durables edged up 3.5 percent to 134.4, but consumer non-durables dropped 6.3 percent to 132.8.
The ministry pointed out that primary goods, infrastructure/construction goods, and intermediate goods were the top drivers behind the overall IIP growth in August. They also updated July’s figures with fresh data, compiling August’s estimates at a 90.96 percent response rate and July’s final revision at 92.99 percent.
For those tracking India’s manufacturing sector and industrial production trends, the next IIP release for September drops on October 28.
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