India’s industrial production growth decelerated to 4.9 per cent in April, influenced by a subdued energy sector and geopolitical tensions, marking the inaugural data release under the newly revised 2022-23 base year for the Index of Industrial Production (IIP).
Photograph: Praveen Paramasivam/Reuters
Key Points
- India’s industrial production grew by 4.9 per cent in April, a slower pace attributed to weak energy sector performance amidst the West Asia crisis.
- This is the first industrial output data released after the revision of the Index of Industrial Production (IIP) base year from 2011-12 to 2022-23.
- The revised IIP basket now includes 1,042 products mapped to 463 item groups, with 120 new items added and 64 dropped to better reflect modern industrial production.
- The new series offers greater granularity, including separate indices for renewable and non-renewable electricity generation, gas supply, and various mineral categories.
- The Ministry of Statistics & Programme Implementation (MoSPI) aims for improved representativeness and diversification in industrial production with the updated index.
India’s industrial production expanded at a slower pace of 4.9 per cent in April due to tepid growth in the energy sector amid the West Asia crisis, according to official data released on Monday.
This is the first data released after the revision in base year to 2022-23.
Sectoral Performance and IIP Estimates
The factory output, measured in terms of the Index of Industrial Production (IIP), expanded by 5.7 per cent in April 2025.
The growth rates of the four sectors — mining & quarrying, manufacturing, electricity & gas supply, water supply, sewerage & waste Management — for April 2026 stood at (-) 5.1 per cent, 6.2 per cent, 4.9 per cent and 6.6 per cent, respectively, an official statement said.
The quick estimate of IIP stands at 118.9 against 113.1 in April 2025, it said.
Revised Base Year and Methodology
The Ministry of Statistics & Programme Implementation (MoSPI) has revised the base year of the Index of Industrial Production (IIP) from 2011-12 to 2022-23. The revised basket consists of 1,042 products mapped to 463 item groups, including 120 new item groups.
The base year revision exercise was undertaken under the aegis of the Technical Advisory Committee for Base Year Revision of the All India Index of Industrial Production (TAC-IIP).
The committee’s report was released on May 25, 2026, laying the foundation for a more robust, relevant, and comprehensive measure of industrial production in India.
This is the 10th revision of the base year for IIP. The first IIP was prepared with a base year 1937.
Enhanced Granularity and Product Basket
According to the MoSPI, the new IIP series provides greater granularity with separate indices for the generation of electricity through renewable and non-renewable, gas supply, fuel minerals, metallic minerals and non-metallic minerals, water supply, sewerage and waste management.
In the new IIP series, a total of 120 new item groups have been added, including cards with a magnetic stripe (debit card, credit card), CCTV camera, articles of non-woven textiles, parts of aircraft and spacecraft, stents, and vaccine.
Also, 64 item groups, including kerosene, fluorescent tubes and CFLs, tubes for bicycle/ tricycle/ rickshaw/LMV tyres, printing machinery, and sewing machines, have been dropped.
An expanded item basket improves representativeness, captures diversification in industrial production, and reflects emerging industrial products and technologies, MoSPI said, adding that the IIP will be released every month with a time lag of 28 days from the reference month.
