Index of Industrial production growth declined from 5.9% to 4% in FY25, government data released

India's industrial production growth rate increased marginally from 2.7% for the month of February to 3% for the month of March 2025. Official figures on this were made public on Monday. The growth rate in March on a year-on-year basis was also less than 5.5 percent for the corresponding month of the previous financial year. The reason for this was the weak showing by the manufacturing, mining, and power sectors.

The government also revised the industrial growth of 2025 for the month of February to 2.7 percent from the provisional figure of 2.9 percent released this month. The figure indicates that the factory output, when measured on the basis of the Index of Industrial Production (IIP), grew by 5.5 percent during March 2024.

Data released by the National Statistical Office (NSO) also showed that the production growth of the manufacturing sector declined marginally to 3 percent in March 2025, from 5.9 percent in the same month a year ago.

The growth rate of mining production declined to 0.4 percent from 1.3 percent a year ago. Electricity generation also declined to 6.3 percent in March 2025. It was 8.6 percent in the same period a year ago. IIP grew by 4 percent in the financial year 2024-25. This figure is less than the 5.9 percent recorded a year ago.