India’s Industrial Growth Rises To 5.2 Per Cent In February 2026 As Manufacturing, Capital Goods And Infra Drive IIP Surge

India’s industrial growth rose to 5.2% in February 2026, driven by strong manufacturing output and increased activity in capital goods and infrastructure sectors. Consumer durables also saw higher demand, reflecting rising incomes. The data signals steady economic momentum supported by investments and job-generating industries.

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IANS Updated: Monday, March 30, 2026, 05:09 PM IST
India’s industrial output strengthens in February as manufacturing and capital goods sectors lead growth amid rising demand and investments | IANS - Representational Image

India’s industrial output strengthens in February as manufacturing and capital goods sectors lead growth amid rising demand and investments | IANS - Representational Image

New Delhi, March 30: India’s industrial growth, based on the Index of Industrial Production (IIP), accelerated to 5.2 per cent in February this year, up from 4.8 per cent in January, propelled by strong growth in the manufacturing sector, according to data released by the Ministry of Statistics on Monday.

Manufacturing drives growth

The manufacturing sector, which accounts for more than three-fourths of the Index of Industrial Production (IIP), posted a robust 6 per cent growth during February compared to the same month of the previous year.

The high manufacturing growth augurs well, as the sector plays a key role in providing quality jobs to the young graduates passing out from the country’s engineering institutes and universities.

Within the manufacturing sector, 14 out of 23 industry groups have recorded positive growth in February 2026 over February 2025.

The top three positive contributors are manufacture of basic metals, which include steel products; motor vehicles; and machinery and equipment, which include tractors. These three segments recorded double-digit growth.

Mining and electricity show steady rise

The mining sector posted a 3.1 per cent growth in February, while electricity generation went up by 2.3 per cent during the month.

Capital goods and consumer demand strengthen

The figures on use-based classification show that the production of capital goods, which comprise machines used in factories, jumped by 12.5 per cent in February this year. This segment reflects the real investment taking place in the economy, which has a multiplier effect on the creation of jobs and incomes going ahead.

There was also a 7.3 per cent increase in the production of consumer durables such as electronic goods, refrigerators, and TVs during February, reflecting higher consumer demand for these items amid rising incomes.

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Infrastructure push fuels expansion

The infrastructure and construction goods sector also recorded strong double-digit growth of 11.5 per cent during the month, driven by the Government’s big-ticket investments in highways, ports, and railway projects, which create large-scale employment and drive up the overall economic growth rate.

(Disclaimer: Except for the headline, this article has not been edited by FPJ's editorial team and is auto-generated from an agency feed.)

Published on: Monday, March 30, 2026, 05:09 PM IST

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