Factories fire up, IIP hits 8% in August
In Short
India's Index of Industrial Production (IIP) rises to 8 percent year-on-year in August 2026, propelled by robust 9 percent growth in manufacturing and a 12.3 percent surge in electricity output
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Factories fire up, IIP hits 8% in August
India's industrial output grew 8 per cent year-on-year in August, accelerating from a revised 7.4 per cent in July, mainly driven by strong manufacturing and electricity production, according to government data released on Monday.
The August growth is the fifth monthly Index of Industrial Production (IIP) reading under the new series. IIP had grown 4.7 per cent in August 2025.
" In August 2026, Index of Industrial Production recorded an 8.0 per cent year-on-year growth, supported by 9.0 per cent growth in Manufacturing sector and strong growth of 12.3 per cent in Electricity & Gas Supply sector," the National Statistics Office said.
The July IIP growth was revised upward from the earlier provisional estimate of 6.7 per cent.
Mining and quarrying output contracted 5.6 per cent in August, compared with 15.8 per cent growth a year ago.
During April-August, IIP growth stood at 6.7 per cent, against 4.2 per cent in the corresponding period last year.
In manufacturing, 18 of the 23 industry groups recorded positive growth in August. The biggest contributors were manufacture of electrical equipment, which grew 30.9 per cent, other transport equipment at 25.3 per cent and motor vehicles, trailers and semi-trailers at 25.2 per cent.
Auto components, passenger cars and commercial vehicles contributed significantly to motor vehicle growth, while electrical apparatus, optical fibre connectors, UPS and solid-state drives supported electrical equipment output.
Among use-based categories, capital goods grew 16.9 per cent, intermediate goods 13.7 per cent and consumer durables 11.1 per cent. Infrastructure and construction goods grew 6.4 per cent, primary goods 3.5 per cent and consumer non-durables 2.1 per cent.
