Manufacturing leads the charge in India’s factory output in Nov, grows 5.8%

India’s industrial production posted a strong 5.2% year-on-year growth in November 2024, with the manufacturing sector emerging as the primary driver of the growth. Manufacturing output surged 5.8%, a significant improvement from the 1.3% expansion in November 2023, indicating robust recovery, particularly in response to increased festive demand.

The growth was largely attributed to higher production of consumer durables, which rose by 13.1% during the month, driven by strong festive season consumption. Infrastructure and construction goods also showed impressive growth, expanding 10% in November 2024 compared to just 1.5% in the same period last year.

However, the mining sector showed a marked slowdown, with output growing by just 1.9% in November, down from 7% in the previous year. Power generation growth also decelerated, increasing by 4.4%, a slowdown compared to 5.8% in November 2023.

Despite these mixed performances across sectors, the data highlighted a significant rebound in manufacturing activity, signaling a strong recovery from the previous year’s sluggish growth. India’s industrial growth for the April-November period was 4.1%, a deceleration from 6.5% in the same period last year. Nonetheless, November’s performance has raised expectations for a steady recovery in the economy, driven by manufacturing and infrastructure sectors.