Why in the news?
India’s industrial output, measured by the Index of Industrial Production (IIP), grew by 4.9% in April 2026, slower than 5.8% recorded in April 2025. The government also released a revised IIP series with a new base year of 2022-23.
What is IIP?
The Index of Industrial Production (IIP) measures:
- Short term changes in industrial production in India.
- Published monthly by:
- Ministry of Statistics and Programme Implementation.
It is an important indicator of:
- Industrial performance
- Economic activity
- Manufacturing trends
New IIP Series
- Base year changed from: 2011-12 to 2022-23.
- Index value for base year is taken as: 100.
- New basket includes:
- 1,042 products
- 463 item groups.
- Earlier series had:
- 839 items
- 407 item groups.
Major Changes in the New Series
The revised IIP has expanded coverage by including:
- Gas supply
- Water supply
- Sewerage activities
- Waste management activities
Sectoral Performance
- Mining and Quarrying: Output contracted by more than 5% in April 2026.
- Manufacturing Grew by: 6.2%.
- Manufacturing contributes nearly: 75% of IIP weight.
[2015] In the ‘Index of Eight Core Industries’, which one of the following is given the highest weight?
(a) Coal Production
(b) Electricity generation
(c) Fertilizer production
(d) Steel production.
