Archive · 28 Aug 2026
Industrial Growth Slows to 6.7% as Mining Contracts
Factories and other industries produced more in July 2026 than they did a year earlier.
Their total output grew by 6.7 percent.
This was slower than the previously reported June growth of 7.3 percent, although June was later revised to 8.8 percent.
Mining was the only major sector to shrink, falling by 0.9 percent.
Manufacturing grew by 7.3 percent.
Electricity and gas supply grew by 8.7 percent.
Electrical equipment, vehicles, and machinery were among the fastest-growing manufacturing areas.
Some goods used by businesses grew strongly, while consumer non-durable goods fell slightly.
India’s Index of Industrial Production grew 6.7% year-on-year in July 2026.
Mining and quarrying contracted 0.9%, while manufacturing grew 7.3%.
Electricity and gas supply increased 8.7%, and water, sewerage and waste management rose 7.4%.
Manufacturing growth was led by electrical equipment at 28.3%, motor vehicles at 22.2%, and machinery at 12.1%.
Capital goods grew 16.1% and intermediate goods 10.0%, while consumer non-durables declined 1.0%.
- Who
- India’s industrial sectors, including mining, manufacturing, electricity, gas, and water-related services.
- What
- The Index of Industrial Production recorded 6.7 percent year-on-year growth in July 2026.
- When
- July 2026; the data were published on August 28, 2026.
- Where
- India.
- Why
- Overall growth was supported by manufacturing and electricity and gas supply, but mining and quarrying contracted.
- Overall IIP growth
- 6.7 percent in July 2026 year-on-year.
- June comparison
- June’s revised IIP growth was 8.8 percent, compared with an earlier provisional estimate of 7.3 percent.
- Mining and quarrying
- Contracted 0.9 percent in July 2026.
- Manufacturing
- Grew 7.3 percent, with 19 of 23 industry groups recording positive growth.
- Electricity and gas supply
- Grew 8.7 percent.
- Leading manufacturing groups
- Electrical equipment grew 28.3 percent, motor vehicles 22.2 percent, and machinery and equipment 12.1 percent.
- Use-based classification
- Capital goods grew 16.1 percent, intermediate goods 10.0 percent, and consumer non-durables declined 1.0 percent.
