New IIP Base Year Series Indicates Higher Manufacturing and Industrial Growth

Updated 2022-23 index shows stronger output growth and revised sectoral weightings across India’s manufacturing landscape

The revised Index of Industrial Production (IIP) series with 2022-23 as the base year shows higher growth rates for manufacturing and overall industrial output when compared with the earlier 2011-12 series.

According to the comparison, General IIP growth under the new 2022-23 base stood at 6.7 per cent in 2023-24, compared with 5.9 per cent under the 2011-12 series. In 2024-25, growth was recorded at 6.4 per cent under the new series against 4 per cent under the old base.

By 2025-26, the difference narrowed, with General IIP growth reaching 4.3 per cent under the 2022-23 series compared with 4.1 per cent under the 2011-12 base.

Manufacturing Growth Comparison

Manufacturing output also recorded stronger growth under the revised series during the first two years of comparison.

Manufacturing growth under the 2022-23 base was 7.1 per cent in 2023-24, compared with 5.5 per cent under the 2011-12 base year.

For 2024-25, manufacturing growth stood at 6.3 per cent under the revised series, higher than the 4.1 per cent recorded under the earlier base.

In 2025-26, manufacturing growth under the new series was 4.9 per cent, compared with 5 per cent under the old series.

The electricity sector, which now includes gas supply, also reported higher growth under the revised series in 2024-25 and 2025-26 compared with the earlier methodology.

Changes in Manufacturing Weights

The updated IIP series reflects changes in the relative importance of several manufacturing sectors.

Under the 2022-23 base year, the weight of Food Products increased from 5.30 to 5.68, while Wearing Apparel rose from 1.32 to 1.97.

The weight of Rubber and Plastic Products increased from 2.42 to 3.38, and Motor Vehicles, Trailers and Semi-Trailers rose from 4.86 to 6.42.

In contrast, Coke and Refined Petroleum Products declined from 11.78 to 7.72, while Basic Metals decreased from 12.80 to 9.20.

The revised weight structure also indicates increased significance for sectors such as food products, wearing apparel, rubber and plastics, automobiles, and pharmaceutical products. Meanwhile, basic metals and refined petroleum products account for a lower share under the 2022-23 series compared with the earlier base year.