India's Industrial Output Growth Slows to 4.1% in March 2026
India's Index of Industrial Production (IIP) growth decelerated to a 5-month low of 4.1% in March 2026, the first month to reflect the impact of the West Asia crisis on manufacturing supply chains. Despite war-related input shortages, the decline was marginal, suggesting India's industrial base remains relatively resilient. The IIP is compiled by the MoSPI and tracks output across mining, manufacturing, and electricity sectors with 2011-12 as base year.
Key Facts & Details
10 points- 1India's IIP growth slows to 4.1% in March 2026 — a 5-month low
- 2First month reflecting impact of West Asia/Iran crisis on industry
- 3IIP tracks mining, manufacturing, and electricity sectors
- 4Base year for current IIP series is 2011-12
- 5IIP is compiled by MoSPI (Ministry of Statistics and Programme Implementation)
- 6Manufacturing sector has the highest weight (77.6%) in IIP
Deep Dive
- +IIP is released monthly with a 6-week lag
- +Eight core industries (cement, steel, coal, crude oil, etc.) have 40.27% weight in IIP
- +Supply chain disruptions from Iran war impacted input availability for factories
- +CEA Anantha Nageswaran flagged energy dependence as a risk to India's growth
Exam Focus
Likely MCQ: What is the base year of the current Index of Industrial Production (IIP) series? Answer: 2011-12
Related Topics
Exam Relevance & Angle
Economy & Banking: IIP, industrial growth statistics, and economic indicators are frequently tested in Banking, UPSC, and SSC exams.
Target Exams
Background & Context
The Index of Industrial Production is a composite indicator measuring short-term changes in the volume of production of a basket of industrial products during a given period. It is compiled and published monthly by MoSPI.
The IIP has three major sectors: Mining (14.4% weight), Manufacturing (77.6%), and Electricity (8%). The current series uses 2011-12 as the base year.
Related GK Concepts
Must KnowTest Yourself
1 / 3What is the base year of the current Index of Industrial Production (IIP)?
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