Industrial output growth hits 5-month low of 4.1%

29 APRIL 2026

Growth in the Index of Industrial Production (IIP) slowed to a five-month low of 4.1% in March 2026, the first month of data after the West Asia crisis began, pulled down by a near-halving in construction sector growth rates and low growth in consumer-centric sectors.
Data released by the Ministry of Statistics and Programme Implementation showed that growth in the IIP has been slowing since January, even before the West Asia crisis broke out on February 28.
For the full financial year 2025-26, growth in the IIP stood at 4.1%, marginally faster than the 4.07% recorded in 2024-25.
The eight core sectors, which make up 40.27% of the IIP, had contracted 0.4% in March.
The Purchasing Managers’ Index also slipped in March from February but remained in the expansion zone, indicating the likely uneven impact of the conflict across sectors and time based on their ability to absorb the shock.

Eight core sectors

The eight core sectors in India represent a 40.27% of total weight in the Index of Industrial Production (IIP), acting as a key economic indicator.
The sectors, updated with a 2011-12 base year, are ranked by weight: