India's industrial production grew by 6.7 percent in September 2026
Manufacturing sector recorded 7.6 percent growth, while electricity and gas supply saw 11.2 percent growth
By Capital Kranti desk, Gandhinagar · Editor: Parth Thakkar
29 October 2026, 4:01 pm · Updated 8:26 am · 5 min read
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India's Index of Industrial Production (IIP) has recorded a growth rate of 6.7 percent on a year-on-year basis in the month of September 2026. This statistical data has been released by the Ministry of Statistics and Programme Implementation. This growth has been primarily contributed by a strong increase of 7.6 percent in the manufacturing sector and 11.2 percent in the electricity and gas supply sector.
According to the PIB Delhi report, the Quick Estimate of the Index of Industrial Production (IIP) for September 2026 stands at 124.3, which was 116.5 in September 2025. Talking about the indices of various sectors for September 2026, mining and quarrying stood at 90.4, manufacturing at 128.0, electricity and gas supply at 128.6, and water supply, sewerage, and waste management at 146.4. This growth rate for September 2026 is lower than the Quick Estimate of 8.0 percent for August 2026.
The growth rates of sectors for the month of August 2026 were as follows: mining and quarrying saw (-) 6.2 percent, manufacturing 7.6 percent, electricity and gas supply 11.2 percent, and water supply, sewerage, and waste management saw 5.8 percent growth. The Quick Estimates of IIP are released on the 28th of every month (or the next working day if the 28th is a holiday). This index is prepared based on data received from producing factories and establishments, and it may be subject to future revisions as per the IIP revision policy.
Examining the details of the manufacturing sector, it is found that out of 23 industry groups at the NIC 2-digit level, 17 groups have recorded positive growth in September 2026 compared to September 2025. The top three groups contributing the most to this sector include 'manufacture of motor vehicles, trailers and semi-trailers' (19.0%), 'manufacture of electrical equipment' (33.9%), and 'manufacture of rubber and plastic products' (19.9%).
In the manufacture of motor vehicles, trailers and semi-trailers group, significant contributions were made by item groups of 'auto components, spares and accessories', 'passenger cars', and 'commercial vehicles'. Similarly, in the manufacture of electrical equipment group, 'switching or protecting equipment for electrical circuits (such as switchgear, circuit breakers/switches and control/meter panels) and their parts', 'UPS and solid-state drives', and 'end-face connectors for optical fibers and cables' played an important role in the growth. In the rubber and plastic products group, 'acrylic sheets (including PVC, polystyrene/polycarbonate and other plastic sheets)', 'tyres for light motor vehicles (LMV)', and 'V-belts and rubber conveyors' made significant contributions.
According to the Use-Based Classification, the indices for September 2026 stood at 111.6 for primary goods, 153.4 for capital goods, 131.7 for intermediate goods, and 133.0 for infrastructure/construction goods. A figure of 133.1 was observed for consumer durables and 111.8 for consumer non-durables. Compared to September 2025, the use-based growth rate was 4.0 percent in primary goods, 10.4 percent in capital goods, 12.2 percent in intermediate goods, 7.2 percent in infrastructure/construction goods, 6.0 percent in consumer durables, and 1.4 percent in consumer non-durables. According to this classification, intermediate goods, primary goods, and capital goods have contributed the most to the growth.
In the details of the mining and quarrying sector, there has been a 2.1 percent growth in fuel minerals, while metallic minerals (including rare earth minerals) saw an increase of 14 percent. However, a decline of (-) 29.2 percent was recorded in non-metallic minerals (including minor minerals). In the electricity and gas supply sector, electricity generation from renewable sources increased by 4.3 percent and from non-renewable sources by 16.5 percent, resulting in a 12.6 percent growth in total electricity generation. In gas supply, however, a decline of (-) 6.7 percent was observed.
In the water supply, sewerage, and waste management sector, there was a total increase of 5.8 percent in the sector with 4.3 percent growth in water supply and 7.7 percent in sewerage and waste management. In some other important groups of manufacturing, 7.8 percent growth was recorded in food products, 39.4 percent in beverages, 17.4 percent in textiles, and 7.3 percent in computer, electronic, and optical products. On the other hand, a decline of (-) 5.2 percent was seen in wearing apparel, (-) 5.1 percent in printing and recorded media, and (-) 8.9 percent in basic pharmaceutical products.
Along with the Quick Estimate for September 2026, the indices for August 2026 have also been finally revised, which is based on updated data received from source agencies. The weighted response rate for the Quick Estimates of September 2026 was 86.5 percent, while this rate was 92.0 percent for the final revision of August 2026. The IIP report for October 2026 will be released on Monday, 30 November 2026.
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