India Resets Industrial Output Index to 2022-23 Base; April Reading Up 4.9%

What happened: Indian statistics ministry shifted the Index of Industrial Production base year from 2011-12 to 2022-23. The first release under the new series reported 4.9% growth for April 2026 against April 2025. The overall index reached 118.9, up from 113.4 a year earlier.

Why it matters: Manufacturing grew 6.2%, with 17 of 23 industry groups recording gains. Motor vehicles, electrical equipment, and machinery led the contributions. Under use-based classification, capital goods rose 16.0% and intermediate goods 7.7%, while mining fell 5.1%.

Industry context: The revised series widens coverage to include gas supply and water supply, sewerage, and waste management. The item basket now maps 1,042 products to 463 item groups, up from 839 items and 407 groups. Mining and electricity indices gain granularity, with electricity split into renewable and non-renewable sources. Source agencies increased to 16. The May 2026 release is scheduled for 29 June 2026.

Our take: The rebasing aligns the index with current industrial structure, though the ministry cautions that old and new series are not strictly comparable.