IIP Data March 2026: India’s industrial output grows 4.1% as mining, manufacturing lead gains

IIP Data March 2026: India’s Index of Industrial Production (IIP) recorded a growth of 4.1 per cent in March 2026 on a year-on-year basis, supported mainly by manufacturing and mining activity, according to the quick estimates released on April 28, 2026.

The IIP had grown by 5.2 per cent in February 2026 as per the quick estimate. The index for March 2026 stood at 173.2 compared to 166.3 in March 2025, indicating overall expansion in industrial activity during the month.

Sector-wise Performance

The growth in March 2026 was driven by the mining sector, manufacturing sector and electricity sector. Mining output rose by 5.5 per cent, manufacturing grew by 4.3 per cent, while electricity generation increased by 0.8 per cent during the month.

Within the manufacturing sector, 14 out of 23 industry groups at the 2-digit level of the National Industrial Classification (NIC-2008) recorded positive growth over March 2025. The key contributors to growth included the manufacture of basic metals, the manufacture of motor vehicles, trailers and semi-trailers, and the manufacture of machinery and equipment not elsewhere classified.

The manufacture of basic metals segment grew by 8.6 per cent. Within this group, products such as MS slabs, flat products of alloy steel and hot rolled coils and sheets of mild steel contributed significantly to the increase.

The manufacture of motor vehicles, trailers and semi-trailers segment registered a higher growth of 18.1 per cent. In this segment, auto components, commercial vehicles and axles were major contributors to production growth.

The manufacture of machinery and equipment not elsewhere classified rose by 11.2 per cent. Key items contributing to growth in this segment included material handling, lifting and hoisting equipment, agricultural tractors, and stationary and internal combustion piston engines not used in motor vehicles.

Use-based Classification Trends

As per use-based classification, the index for primary goods stood at 173.3 in March 2026, showing a growth of 2.2 per cent over March 2025. Capital goods index was at 156.2, registering a higher growth of 14.6 per cent, indicating strong expansion in investment-related activity.

The intermediate goods index stood at 181.4, growing by 3.3 per cent. The infrastructure and construction goods index was at 229.0, recording a growth of 6.7 per cent. Consumer durables index stood at 146.2, with a growth of 5.3 per cent, while consumer non-durables stood at 150.6, with a growth of 1.1 per cent.

Among use-based categories, infrastructure and construction goods, capital goods and primary goods were the top contributors to overall IIP growth during March 2026.

Data Methodology and Next Release

The quick estimates of IIP are based on data received from source agencies, which in turn collect information from producing factories and establishments. These estimates are subject to revision in subsequent releases as per the revision policy of the index.

The quick estimates for March 2026 have been compiled at a weighted response rate of 88.50 per cent. The final revision for February 2026 has been made with a response rate of 91.86 per cent.

The Ministry said the index provides a measure of short-term changes in the volume of production of industrial products during a given period compared to a base period. The base year for the current series is 2011-12.

The release also noted that detailed data for sector-wise performance, 2-digit industry groups and use-based classification for March 2026 are available in accompanying statements. The index for April 2026 will be released on June 1, 2026, the ministry added.