India’s industrial output grows 6.7% in September, led by manufacturing and electricity

India’s industrial production grew 6.7 per cent year-on-year in September 2026, supported by manufacturing and electricity generation, according to quick estimates released on Wednesday.

Growth moderated from August’s revised rate of 7.8 per cent, down from the earlier quick estimate of 8 per cent. The Index of Industrial Production (IIP), with a base year of 2022–23, stood at 124.3 in September against 116.5 a year earlier.

Manufacturing, which carries a weight of 76.06 per cent in the index, expanded by 7.6 per cent. Electricity and gas supply grew 11.2 per cent, while water supply, sewerage and waste management increased 5.8 per cent. Mining and quarrying contracted by 6.2 per cent.

Within manufacturing, 17 of the 23 industry groups recorded growth. Motor vehicles, trailers and semi-trailers, electrical equipment, and rubber and plastics products were the three leading positive contributors, expanding by 19 per cent, 33.9 per cent and 19.9 per cent, respectively.

Growth in motor vehicle manufacturing was supported by auto components, passenger cars and commercial vehicles. Electrical equipment output benefited from products including switchgear, circuit breakers, control panels and optical fibre connectors. Plastic sheets, light motor vehicle tyres and rubber conveyor products contributed to growth in rubber and plastics manufacturing.

Other expanding industries included beverages, which grew 39.4 per cent, other transport equipment at 19.1 per cent and textiles at 17.4 per cent.

Among industries recording declines, wood products contracted by 10.5 per cent, pharmaceuticals by 8.9 per cent and wearing apparel by 5.2 per cent.

Under the use-based classification, intermediate goods grew 12.2 per cent and capital goods rose 10.4 per cent. Infrastructure and construction goods expanded by 7.2 per cent, consumer durables by 6 per cent, primary goods by 4 per cent and consumer non-durables by 1.4 per cent.

Intermediate goods, primary goods and capital goods were the largest positive contributors to overall industrial growth under this classification.

For April–September 2026, industrial production increased by 6.8 per cent compared with the corresponding period a year earlier. Manufacturing grew 7.5 per cent, electricity and gas supply expanded 9.7 per cent, and water supply, sewerage and waste management rose 6.3 per cent. Mining and quarrying declined by 2.4 per cent.

The September quick estimates were compiled at a weighted response rate of 86.5 per cent and remain subject to revision. The next IIP release, covering October 2026, is scheduled for November 30.

(PIB)

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