New Delhi: India’s industrial activity bounced back sharply in November, with the Index of Industrial Production (IIP) registering a robust 6.7% year-on-year expansion, marking a decisive recovery from the festive-season lull seen a month earlier.
The strong rebound – IIP surged to a 25-month high – followed a muted growth of just 0.4% in October, when Diwali-related holidays had temporarily disrupted factory operations. Compared with November 2024, when output had risen 5%, the latest figures point to a clear normalization of production schedules and a revival in demand after the festive pause.
The turnaround was driven primarily by manufacturing, which posted an impressive 8.0% growth during the month. Industries such as basic metals and fabricated metal products, pharmaceuticals and motor vehicles emerged as the main engines of growth, collectively lifting overall industrial performance.
Mining output also showed renewed momentum, rising 5.4% year on year as operations picked up after the withdrawal of the monsoon and production of metallic minerals, including iron ore, strengthened. Electricity generation, however, declined by 1.5%, slightly tempering the headline growth number.
Basic Metals
Among manufacturing segments, basic metals recorded a 10.2% increase, pharmaceuticals and medicinal chemical products expanded 10.5%, and motor vehicles, trailers and semi-trailers surged 11.9%, making them the largest individual contributors to industrial growth in November. The broad-based nature of the recovery was evident, with 20 out of 23 manufacturing industry groups showing positive growth compared with a year earlier.
From a use-based perspective, capital goods output climbed 10.4%, signalling improving investment activity, while infrastructure and construction goods grew a strong 12.1%, reflecting continued momentum in building and public works. Intermediate goods and consumer non-durables both rose 7.3%, indicating steady supply-chain activity and stable consumption demand. Consumer durables also performed well, expanding 10.3%, whereas primary goods saw a relatively modest growth of 2.0%.
Industrial Recovery
Overall, infrastructure and construction goods, intermediate goods, and consumer non-durables emerged as the largest contributors to November’s IIP growth, underscoring the breadth of the industrial recovery.
The government noted that the November estimates are based on a high response rate from reporting units and may be revised as more data becomes available.
Even so, the sharp acceleration from October’s subdued performance highlights the resilience of India’s industrial sector and its ability to regain momentum once seasonal disruptions fade.