India’s Industrial Output Grows 2.7% In April 2025; Check Details Here

The manufacturing sector, which has the highest weight in the index, expanded by 3.4 per cent, a slight improvement from March’s 3.0 per cent

Electricity generation rose 1.1 per cent, while mining activity declined marginally by 0.2 per cent

Source : Pexels

India’s industrial activity witnessed moderate growth in April 2025, with the Index of Industrial Production (IIP) rising by 2.7 per cent year-on-year, according to data released by the Ministry of Statistics and Programme Implementation (MoSPI). This marks a slowdown from the 3.94 per cent growth reported in March 2025 and falls short of the pace recorded in April 2024.

The IIP stood at 152.0 in April 2025, compared to 148.0 a year earlier. The manufacturing sector, which has the highest weight in the index, expanded by 3.4 per cent, a slight improvement from March’s 3.0 per cent. Electricity generation rose 1.1 per cent, while mining activity declined marginally by 0.2 per cent.

Sectoral Update

Within the manufacturing segment, 16 out of 23 industry groups reported positive growth. The standout performer was the "manufacture of machinery and equipment n.e.c.," which surged 17.0 per cent. This was followed by a 15.4 per cent increase in the production of motor vehicles, trailers, and semi-trailers, and a 4.9 per cent rise in basic metals.

In basic metals, products like steel pipes and tubes, MS blooms, billets, ingots, and alloy steel flat products contributed significantly. Growth in the automobile sector was fueled by higher output of components, axles, and commercial vehicles. Machine tools, lathes, and non-automotive internal combustion engines drove gains in the machinery category.

Classification

Capital goods registered a robust growth of 20.3 per cent, indicating a possible recovery in private investment. Infrastructure and construction goods rose by 4.0 per cent, while intermediate goods grew by 4.1 per cent. Consumer durables posted a healthy 6.4 per cent increase, but consumer non-durables slipped by 1.7 per cent. Primary goods saw a slight contraction of 0.4 per cent.

In April 2025, the Index of Industrial Production (IIP) across use-based categories reflected varied performance. The index for primary goods stood at 151.6, while capital goods recorded 114.3. Intermediate goods registered a level of 164.2, and infrastructure/construction goods reached 191.6. Among consumer goods, durables stood at 127.2, whereas non-durables were slightly higher at 148.4.