Delhi's manufacturing growth 3 times higher than national rate: Report

Delhi's manufacturing sector registered a strong growth of 11.9 per cent in 2024-25, nearly three times higher than the national growth of 4.1 per cent, indicating a sharper industrial recovery at the local level, according to a report.

The annual report (2024-25) on the Index of Industrial Production (IIP) in the national capital was released recently by the Delhi government's Directorate of Economics and Statistics.

The overall industrial output of Delhi in 2024-25, as compared to 2023-24, rose by 9.19 per cent, while the national growth was recorded at 4 per cent, the report said.

The report, using the base year 2011-12, has been compiled using production data from 134 manufacturing units and one electricity unit in Delhi.

These units are involved in the production of 90 different categories of items.

Nine out of 23 manufacturing units showed a positive growth in the IIP during 2024-25 as compared to 2023-24.

These included food products, leather and related products, motor vehicles, other transport equipment, fabricated metal products, chemicals and chemical products and beverages.

However, 13 major product groups -- wearing apparel, wood and products of wood and cork (except furniture), computer, electronic and optical products, coke and refined petroleum products, pharmaceuticals, machinery and equipment, among others, showed a decline in the IIP during 2024-25 as compared to 2023-24.

The report said some factories were closed down or shifted to other places, while some showed zero production during 2024-25.

The IIP is defined as an indicator of changes in the volume of industrial production of a representative basket of industrial products during a particular period with respect to a chosen base period.

The IIP for the base period is taken as 100 and that for the study period shows the percentage increase or decrease over the base period.

The weights assigned to the manufacturing and electricity sectors are 586.1 and 413.9, respectively, based on their contribution to the state gross value added in the base year of 2011-12.

According to the report, Delhi's electricity sector grew "modestly" by 3.35 per cent in 2024-25 as compared to 2023-24, while the all-India growth was recorded at 5.2 per cent.