India's Industrial Production Growth Slows to 0.4% in October 2025

The Index of Industrial Production (IIP) in India recorded a growth rate of just 0.4% for October 2025, a significant decline from the 4% growth observed in September. This data was released by the Ministry of Statistics and Programme Implementation, reflecting the impact of various festivals on industrial activity during the month.

According to the government's Quick Estimates, the IIP reached a level of 150.9 in October 2025, compared to 150.3 in the same month of the previous year, October 2024. The slow growth in industrial production can be attributed to a reduced number of working days due to the celebrations of Dussehra, Diwali, and Chhath festivals.

Sectoral Performance

The sectoral indices for October 2025 were reported as follows: Mining at 126.2, Manufacturing at 151.1, and Electricity at 193.4. These figures reveal a mixed performance across different sectors. Notably, the mining sector experienced a decline of 1.8%. In contrast, the manufacturing sector saw a modest growth of 1.8%. However, the electricity sector faced a considerable setback, decreasing by 6.9%.

The drop in electricity production can be linked to prolonged rainfall and mild temperatures across several states and Union Territories, which resulted in a decreased demand for power.

Within the manufacturing sector, nine out of 23 industry groups classified at the two-digit level by the National Industrial Classification (NIC) reported positive growth when compared to October 2024. Key contributors to this growth included the manufacture of basic metals, which increased by 6.6%, followed by the production of coke and refined petroleum products at 6.2%, and the manufacture of motor vehicles, trailers, and semi-trailers, which rose by 5.8%.

The variations in growth across sectors highlight the ongoing challenges faced by different industries in a fluctuating economic landscape. As the government continues to monitor these trends, stakeholders are advised to keep a close watch on future reports for signs of recovery or further decline.

This update is part of an ongoing analysis of India's economic indicators, with further details expected as new data becomes available.