IIP development slows to an 8-month low of two.7% in April-OxBig News Network

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Growth in industrial exercise within the nation slowed to an eight-month low of two.7% in April 2025, dragged down by decrease exercise within the mining & quarrying, electrical energy, main items, infrastructure & development, and client non-durables sectors.

According to the Index of Industrial Production for April 2025 launched by the Ministry of Statistics and Programme Implementation, development in industrial exercise was final slower in August 2024, when it had contracted 0.1%.

Also learn | Industrial production slows, IIP at 6-month low of 2.9% in February 2025

In April this 12 months, the mining and quarrying sector contracted 0.2%, its worst efficiency since August 2024. The manufacturing sector, nevertheless, noticed a development of three.4%, a three-month excessive.

The electrical energy sector noticed development slowing to 1.1% in April, additionally the slowest since August 2024. Similarly, the first items class contracted by 0.4% in April, an eight-month low.

Notably, the capital items sector noticed very robust development of 20.3% in April 2025, albeit on a low base of two.81% in April final 12 months.

Also learn | IIP grows 3% as electricity, manufacturing output surge

“On the forefront was a smart increase in capital goods supported by both electrical and non-electrical machinery,” Madan Sabnavis, chief economist on the Bank of Baroda stated. “While there was a favourable base effect, growth of 20.3% is impressive. It needs to be seen if this is maintained in the coming months as one is looking at investment to pick up.”

The client durables phase noticed development quickening to six.4%, a three-month excessive.

“The successful rabi crop as well as the upcoming marriage season has helped to prop up production,” Mr. Sabnavis added. “The auto sector was also a driver of production with growth of 15.4%.”

The client non-durables sector, nevertheless, noticed a contraction of 1.7% in April 2025, the third consecutive quarter of contractions. In truth, the sector has contracted in 4 out of the final 5 months.