New Delhi, July 28 – India’s industrial production growth decelerated to 1.5% in June 2025, marking its slowest pace in 10 months, according to data released by the National Statistical Office (NSO) on Monday.
This downturn comes largely due to subdued performance in the mining and electricity sectors, both of which were disrupted by excess rainfall, particularly in the second half of June. In comparison, factory output as measured by the Index of Industrial Production (IIP) had grown 4.9% in the same month last year.
The NSO also revised the IIP growth for May 2025 upward to 1.9%, from its earlier estimate of 1.2%.
Analysts say the slowdown reflects both seasonal weather effects and broader structural challenges in the industrial sector, particularly in power generation and resource extraction. Manufacturing output, though more stable, showed only modest gains.
With monsoon disruptions easing and festive demand expected to rise in coming months, economists are cautiously optimistic about a potential rebound in the July–September quarter.