India’s manufacturing inflation eased to 1.33% year-on-year in November 2025, according to government data. The moderation reflects stable input costs and relief for industries, aligning with RBI’s inflation management goals. Analysts see this as a positive sign for industrial growth, though global commodity price risks remain.
Inflation Trends Show Cooling Momentum
India’s manufacturing inflation stood at 1.33% year-on-year in November 2025, according to government data released via Reuters. This marks a moderation compared to earlier months, reflecting relative stability in input costs and easing price pressures across key industrial sectors.
Key Highlights
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Manufacturing Inflation Rate: Registered at 1.33% Y/Y, indicating controlled cost escalation in the sector.
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Sectoral Impact: Lower inflation suggests relief for industries dependent on raw materials, particularly textiles, chemicals, and machinery.
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Policy Implications: Economists note that the easing trend could support industrial growth and align with the Reserve Bank of India’s broader inflation management goals.
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Global Context: Moderation comes amid fluctuating commodity prices worldwide, with India benefiting from softer crude and raw material costs.
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Outlook: Analysts expect continued stability if global supply chains remain resilient, though risks from energy price volatility persist.
Why It Matters
Manufacturing inflation is a critical indicator of industrial health. A lower rate boosts competitiveness, encourages investment, and provides breathing space for producers. For consumers, it signals potential stability in prices of manufactured goods, supporting broader economic confidence.
Sources: Reuters (RTRS Government Data Release), Economic Times Market Updates, Business Standard Inflation Reports