India Manufacturing and Industrial Output: Index of Industrial Production

MoSPI publishes the all-India Index of Industrial Production (IIP) monthly. It measures the volume of output in mining and quarrying, manufacturing, electricity and gas supply, and water supply, sewerage and waste management. The current series has base year 2022-23=100 and was released on 1 June 2026 [1].

In May 2026, the IIP stood at 122.7, against 116.7 in May 2025, a growth rate of 5.1% [1]. Manufacturing grew 5.5%, electricity and gas supply 9.9%, and water supply, sewerage and waste management 5.5%, while mining and quarrying contracted 1.6% [1].

Manufacturing accounts for 76.062% of the index weight, mining and quarrying 11.053%, electricity and gas supply 10.865%, and water supply, sewerage and waste management 2.020% [1].

In May 2026, 16 of 23 manufacturing industry groups at the NIC 2-digit level recorded positive growth over May 2025 [1]. The top positive contributors were motor vehicles, trailers and semi-trailers (14.5% growth), electrical equipment (20.8%) and basic metals (4.6%) [1]. Passenger cars, auto components and commercial vehicles drove growth in the motor vehicles group [1].

By use-based classification, capital goods grew 12.9%, consumer durables 7.2%, infrastructure and construction goods 5.9%, intermediate goods 5.8%, consumer non-durables 3.6% and primary goods 2.6% [1].

MoSPI has adopted the Output Producer Price Index (Output PPI) as the deflator in place of the Wholesale Price Index for item groups whose output is collected in value terms [1]. This affects 234 of the 463 item groups in the IIP basket, representing 36.02% of the total index weight [1]. The revised PPI-based 2022-23 series supersedes the WPI-based series released on 1 June 2026 [1].

Trading Economics, citing MoSPI, reports IIP growth of 6.7% in July 2026, down from an upwardly revised 8.8% in June [2]. It reports manufacturing growth of 7.3% in July after 9.5% in June [2].

Figures are from MoSPI's quick estimates of the IIP for May 2026 (base 2022-23=100, Output PPI deflator), published via PIB. July 2026 figures are MoSPI data as compiled by Trading Economics and should be checked against the MoSPI release.

• Growth rates are year on year against the same month of the previous year.
• Index levels are not seasonally adjusted, so month-to-month changes partly reflect seasonality.
• Quick estimates are provisional and are revised in later releases.
• Production Linked Incentive (PLI) scheme investment and the HSBC India Manufacturing PMI were not captured in this research round and are not reported.