India's IIP grows 3% in March, full-year growth slows to 4% in FY25

India IIP: In the last financial year, India's industrial output grew 5.9%

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India’s industrial activity continued its recovery momentum with the Index of Industrial Production (IIP) growing 3 per cent year-on-year in March 2025, according to data released by the Ministry of Statistics and Programme Implementation. This marked a recovery from the six-month low of 2.9 per cent recorded in February. However, growth remained below the 5.5 per cent expansion reported during the same month last year.

Sector-wise performance

 

The IIP stood at 164.8 in March 2025, up from 160.0 a year earlier. Sector-wise, manufacturing, which carries the largest weight in the index, rose 3 per cent, slightly up from 2.9 per cent in February.

 

Electricity generation expanded 6.3 per cent, compared to 3.6 per cent in the previous month.​ While mining output saw a modest growth of 0.4 per cent from 1.6 per cent in February. 

Within manufacturing, 13 of the 23 industry groups posted positive growth. The manufacture of electrical equipment recorded the strongest performance at 15.7 per cent growth, followed by motor vehicles, trailers and semi-trailers at 10.3 per cent, and basic metals at 6.9 per cent.

 

Infrastructure and construction goods grew 8.8 per cent, primary goods rose 3.1 per cent, and consumer durables increased 6.6 per cent. However, consumer non-durables declined 4.7 per cent during the month.

India IIP data for FY25

For the financial year 2024-25, the cumulative IIP growth stood at 4 per cent, a slowdown from the 5.9 per cent growth recorded in the previous year.