- India’s industrial growth weakened in September 2025 , with the Index of Industrial Production (IIP) rising by just 4% , marking a three-month low. Data from the Ministry of Statistics and Programme Implementation (MoSPI) show that the first half of FY 2025-26 recorded only 3% growth , the slowest pace in five years.
Weak First-Half Performance
- Industrial growth during April–September 2025 stood at 3% , compared to 4.1% in the same period last year. This continues a gradual slowdown following the post-pandemic rebound: 24% growth in FY 2021-22, 7% in FY 2022-23, and 6.3% in FY 2023-24.
Sectoral Performance
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Mining contracted by 0.45% in September after a strong 6.6% rise in August.
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Primary goods growth slowed sharply to 1.4% from 5.4% in the previous month.
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Manufacturing offered some relief, expanding 4.8% compared to 3.8% in August.
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Consumer durables grew 10.2% , reflecting festive season demand, while consumer non-durables continued to contract by 2.9% .
Factors Behind the Slowdown
- Economists attribute the weak industrial momentum to supply-side pressures in mining and delayed transmission of GST rate cuts . They expect some rebound in the coming months as inventory adjustments and festive spending boost demand.
Exam-Oriented Facts
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IIP growth (Sept 2025): 4%
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H1 FY 2025-26 growth: 3% (lowest in five years)
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Mining: –0.45% | Manufacturing: +4.8%
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Consumer durables: +10.2% | Non-durables: –2.9%
Outlook
While the manufacturing sector and festive demand offer temporary support, economists caution that sustained recovery will depend on easing supply bottlenecks and consistent policy support to revive industrial momentum.
Month: Current Affairs - October 30, 2025
Category: Economy & Industry