Industrial output growth slows to 4% in August due to consumer-related sectors
India's industrial activity growth slowed to 4% in August 2025, down from a six-month high of 4.3% in July. The slowdown was primarily driven by the consumer durables and non-durables sectors, along with slower growth in manufacturing, capital goods, and infrastructure. Conversely, mining, primary goods, and electricity showed positive turnarounds. Experts noted that recent tariff and GST reforms had no immediate effect on these figures. The Index of Industrial Production (IIP) data, released by the Ministry of Statistics and Programme Implementation, highlighted that while growth slowed, it remained significantly higher than the 0% growth recorded in August of the previous year.
Key Points
- The Index of Industrial Production (IIP) growth slowed to 4% in August 2025.
- Consumer durables and non-durables sectors were the primary drags on industrial growth.
- Mining and primary goods sectors saw a turnaround, with primary goods hitting a seven-month high of 5.2%.
- Manufacturing growth slowed to 3.8% in August, compared to 6% in July.
Exam Facts
- IIP data is released by the Ministry of Statistics and Programme Implementation (MoSPI).
- Primary goods sector growth reached a seven-month high of 5.2% in August 2025.
- The mining and quarrying sector grew by 6% in August, a 14-month high.
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