The government has unveiled a discussion paper detailing the proposed methodology for adjusting the Index of Industrial Production (IIP) for seasonal variations. The Ministry of Statistics and Programme Implementation (MoSPI) is currently engaged in revising the base of the IIP, which involves reassessing methodologies, exploring new data sources, and making changes following extensive consultations with experts and stakeholders. Despite the significant impact of seasonality and calendar effects on industrial production, India has not previously published a seasonally adjusted IIP series, leaving users to conduct their own analyses using various methods and tools.
In response to growing demand for a seasonally adjusted IIP, the MoSPI has introduced “Discussion Paper 3.0: Seasonal Adjustment of Index of Industrial Production,” outlining the proposed methodology for this adjustment. The ministry has called for feedback from experts, academicians, government bodies, financial institutions, and other stakeholders on the suggested approach. Comments and suggestions are welcomed until February 12, 2026.
India’s industrial output saw a notable increase of 7.8% in December, marking its highest level in more than two years, propelled by robust growth across manufacturing, mining, and electricity sectors. The manufacturing segment witnessed an 8.1% growth in December, with 16 out of 23 industry groups showing positive growth. Key contributors to this growth include the production of basic metals, motor vehicles, pharmaceuticals, and chemicals.
The mining sector rebounded with a 6.8% growth in December compared to the same period the previous year, while the electricity sector also demonstrated a substantial growth of 6.3%.
