India’s June 2026 Industrial Output Jumps 7.3% YoY, Driven by Manufacturing and Power Generation

The Ministry of Statistics and Programme Implementation (MoSPI) reported that the Index of Industrial Production (IIP) rose 7.3 percent year-on-year in June 2026, the fastest pace since July 2024. The Quick Estimate stood at 123.1, up from 114.7 in June 2025.

India's IIP Output Rises to 7.3% in June; 19 of 23 Manufacturing Segments Expand

In May 2026 the government switched the IIP deflator from the Wholesale Price Index (WPI) to the Output Producer Price Index (Output PPI). MoSPI said the new PPI-based series, with a base year of 2022-23, supersedes the earlier WPI-based series released on June 1. The change affects 234 of the 463 item groups, representing 36.02 % of the index weight, and is intended to provide a more detailed price structure and align with international best practices.

India’s industrial output quickens to 7.3% in June from 5.1% in May as manufacturing, electricity growth accelerates India's Industrial Output Surges 7.3% in June, Driven by Manufacturing, Hitting Near Two-Year High — BigGo Finance India’s Industrial Output Surges to 7.3% in June, Handily Beating Forecasts

• Overall growth: +7.3 % YoY (MoSPI).

India’s industrial output quickens to 7.3% in June from 5.1% in May as manufacturing, electricity growth accelerates

• Manufacturing: +7.8 % YoY, with 19 of 23 industry groups posting positive growth. Top contributors: electrical equipment +34 %, motor vehicles, trailers and semi-trailers +17.5 %, food products +10.8 % (MoSPI).

India’s industrial output quickens to 7.3% in June from 5.1% in May as manufacturing, electricity growth accelerates

• Electricity & gas supply: +10.6 % YoY (MoSPI).

India's IIP Output Rises to 7.3% in June; 19 of 23 Manufacturing Segments Expand

• Mining & quarrying: +1.0 % YoY, reversing a 1.4 % contraction in May (MoSPI).

India’s industrial output quickens to 7.3% in June from 5.1% in May as manufacturing, electricity growth accelerates

• Water supply, sewerage & waste management: +6.1 % YoY (MoSPI).

India's IIP Output Rises to 7.3% in June; 19 of 23 Manufacturing Segments Expand

• Use-based categories: Capital goods +14.2 %, intermediate goods +9.3 %, infrastructure and construction goods +7.5 %, primary goods +4.9 %, consumer durables +7.7 %, consumer non-durables +4.9 % (MoSPI).

CNBC TV18

• “It's a better-than-expected print. We broadly expect the momentum to hold going forward on sustained consumption,” — Gaura Sen Gupta, chief economist at IDFC First Bank

Reuters

• “It is comforting to note that India's industrial sector has accelerated the growth momentum even amid global uncertainties and elevated energy prices,” — Rajani Sinha, chief economist at CareEdge Rating Sakshi Gupta, principal economist at HDFC Bank

India's factory output grows 7.3% in June, fastest pace in nearly two years

• “The underlying month-on-month momentum is strong,” — Gaura Sen Gupta, chief economist at IDFC First Bank

India's factory output grows 7.3% in June, fastest pace in nearly two years

The broad-based expansion across manufacturing, capital goods, and power generation signals resilient domestic demand despite external headwinds such as slowing global growth and volatile commodity prices. Capital-goods growth, a proxy for investment, suggests continued corporate spending, while the electricity sector’s performance underpins both industrial and household activity.

India’s IIP growth hits 23-month high of 7.3% in June

MoSPI announced that the next IIP release, covering July 2026, is scheduled for August 28 2026.

India’s industrial output quickens to 7.3% in June from 5.1% in May as manufacturing, electricity growth accelerates