IIP Data: India’s Industrial Output Growth Surges 7.8% In December

Strong electricity, mining and manufacturing output, along with broad increases in infrastructure and consumer products, helped the IIP in India rise to a 26 month high in December.

The Index of Industrial Production (IIP), which gauges India’s factory output, increased 7.8% year on year (YoY) in December, indicating a second consecutive month of strong growth in the industry, according to data released by the government on Wednesday. This increase was driven by robust consumer demand and a strong manufacturing performance.

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The output of consumer non-durables increased from 7.3% to 8.3%, while the growth of consumer durables accelerated from 10.3% to 12.3% on the consumption side, suggesting that demand remained robust throughout the month.

The index assigns the highest weight to manufacturing output, which rose 8.1% by sector, marginally higher than November’s 8%. The amount of mining activity also increased, rising from 5.4% to 6.8% in the prior month. Following a 1.5% decline in the previous month, electricity production saw a notable rebound, rising by 6.3%, according to the reports.

According to a release, the indices for December 2025 are 164.6 for Primary Goods, 124.0 for Capital Goods, 182.8 for Intermediate Goods and 219.1 for Infrastructure/Construction Goods, according to the use-based classification and the indices for consumer durables and consumer non-durables are 139.0 and 180.7, respectively.