India’s industrial production rose 8.0% y/y in August 2026, accelerating from July and extending a three month stretch of growth at or above 8% as manufacturing and electricity generation strengthened, according to data released by India’s Ministry of Statistics and Programme Implementation (MoSPI).

The Index of Industrial Production (IIP) climbed to 123.3 from 114.2 a year earlier. Manufacturing output increased 9.0%, while electricity and gas supply advanced 12.3%. Water supply, sewerage and waste management grew 6.3%. Mining and quarrying was the main drag, contracting 5.6%. 18 of 23 manufacturing groups expanded. Electrical equipment led with 30.9% growth, followed by other transport equipment at 25.3% and motor vehicles, trailers and semi trailers at 25.2%.

Rubber and plastics products increased 21.4%, computer and electronic products 19.3%, beverages 18.3%, fabricated metal products 16.9% and textiles 13.1%. Tobacco output declined 8.0%, while apparel fell 7.4%.

Pharmaceuticals and medicinal chemicals decreased 1.6%, and chemicals slipped 0.5%. The mining index dropped to 85.7 from 90.8. Fuel minerals declined 5.7% and non metallic minerals 12.8%, while metallic minerals grew 5.0%. Electricity generation climbed 13.3%, supported by renewable generation growth of 15.4% and non renewable generation growth of 12.3%. Gas supply fell 2.4%. Capital goods expanded 16.9%, intermediate goods 13.7% and consumer durables 11.1%. April to August IIP growth was 6.7%, with manufacturing at 7.4%.

The IIP is seen as an important economic indicator by both domestic and foreign financial institutions and individuals including credit agencies and economists at universities that act as opinion shapers for the state of India’s economy, its growth and its shortcomings.