QuantEco Research | Oct-25 IIP - The exaggerated dip
Download ReportQuantEco Research | Oct-25 IIP - The exaggerated dip
Growth in India’s industrial production slipped to a 14-month low of 0.4% in Oct-25 from 4.6% (revised up from 4.0% published earlier) in Sep-25. This was led by the Mining and Utilities sectors on the sectoral side, and Primary Goods and Consumer Goods on the use-based side. The drag appears to be exaggerated on account of an adverse statistical base due to the shifting nature of the festive season in India. Having said, one does acknowledge the moderation in industrial activity momentum. Although the domestic investment-oriented policy push continues to play a supportive role, the external outlook has started posing considerable adversity. Going forward, the cyclical support from monsoon and lower inflation/interest rates, coupled with GST rationalization, would help buoy industrial production. Announcement of the India-US trade deal in the near term would be positive.