Industrial growth at 6-month low in Feb amid weak demand

The slowdown The drop in industrial activity highlights domestic challenges amid heightened global uncertainties.

- Rhik Kundu

India's industrial production slowed to a six-month low of 2.9% in February, driven by weak manufacturing and mining output, per latest government data released on Friday. The previous low, recorded in August last year, was zero.

Alongside, January's growth was revised to 5.2% from 5%, data released by the ministry of statistics and programme implementation showed.

Experts said the slowdown was expected. "The manufacturing sector, which holds the lion's share of the IIP weight, expanded by 2.9%, its lowest level since last August, showing subdued rural and semi-urban consumption trends," said Sankar Chakraborti, managing director & CEO at Acuité Ratings & Research Limited.

Chakraborti added that the divergence between investment and consumption "needs close monitoring in the run-up to FY26".