India’s industrial production rose +4.8% YoY in January 2026 (down from +7.8% YoY in December), indicating slower but still positive output growth.

• The headline IIP index reached 169.4 (Jan 2025: 161.6), reflecting continued expansion in overall industrial activity despite a moderation from the prior month.

• Sector growth was broad based with Mining +4.3% YoY, Manufacturing +4.8% YoY, and Electricity +5.1% YoY, showing contributions from all three major industrial segments.

• Within manufacturing, 14 of 23 industry groups expanded YoY, led by basic metals (+13.2%), motor vehicles and trailers (+10.9%), and other non metallic mineral products (+9.9%).

• Use based categories showed Infrastructure/Construction Goods +13.7% YoY, Intermediate Goods +6.0% YoY, Capital Goods +4.3% YoY, and Primary Goods +3.1% YoY, highlighting stronger investment related output.

• Consumer Durables increased +6.3% YoY while Consumer Non durables fell -2.7% YoY, indicating divergence between discretionary and everyday consumption goods.

• Infrastructure/Construction Goods, Intermediate Goods, and Primary Goods were identified as the top contributors to the January growth, reinforcing investment led momentum in industrial activity.