Factory output accelerates: IIP grows 7.3% in June
India's Index of Industrial Production grew 7.3% year-on-year in June 2026 — up sharply from 5.1% in May — led by 7.8% growth in manufacturing and 10.6% in electricity and gas supply.
What happened
- IIP grew 7.3% year-on-year in June 2026, up from 5.1% in May.
- Manufacturing grew 7.8%; electricity & gas supply surged 10.6%.
- Water supply/sewerage/waste rose 6.1%; mining & quarrying was flat at 1.0%.
- The index is on the revised base 2022-23=100.
- Quick Estimates come out on the 28th monthly and are revised later.
For Prelims
- IIP: the Index of Industrial Production — a volume index of industrial output, compiled by MoSPI.
- June 2026: 7.3% growth (May: 5.1%); base year 2022-23=100.
- Sectors: Mining & Quarrying, Manufacturing, Electricity & Gas, and Water Supply/Sewerage.
- June sector growth: mining 1.0%, manufacturing 7.8%, electricity/gas 10.6%, water 6.1%.
- Use-based classification: primary, capital, intermediate, infrastructure goods plus consumer durables/non-durables.
- Release cycle: Quick Estimates on the 28th of every month, revised in later releases.
For UPSC: A statistics-and-governance item. Use it for India's official statistical system (MoSPI), the IIP as a high-frequency indicator, base-year revisions, and reading industrial momentum through use-based classification.
What it is NOT: The IIP is a volume index of industrial production — not a measure of GDP or of the services sector, and Quick Estimates are provisional and subject to revision.
For Mains
Syllabus: GS2.15 · GS3.1 · Linkage L1
Anchor
The factory floor picks up pace — industrial output accelerates to 7.3%.
Substantiation (data)
June 2026 IIP at 7.3% (May 5.1%), with manufacturing at 7.8% and electricity/gas at 10.6% on the 2022-23 base.
Exemplification
Strong power and manufacturing growth against subdued mining shows where the momentum sits.
Problematisation
Monthly indices are volatile and provisional; base effects and weak mining caution against reading too much into one print.
Way-forward
Sustain capital-goods and infrastructure demand, and keep improving the timeliness and quality of official statistics.
Position
Credible, high-frequency official data is itself a governance asset for evidence-based policy.
Deploys into: Governance/statistics + economy (GS2.15, GS3.1) · the official statistical system, the IIP as a high-frequency indicator and base-year revision.
Ministry of Statistics & Programme Implementation · 2026-07-28 · PRID 2290419 · PIB source ↗