India Manufacturing Growth Positive

The Federation of Indian Chambers of Commerce & Industry (FICCI) released its latest manufacturing survey for the January-March period of FY26, indicating sustained growth and increasing optimism in India's manufacturing sector. Approximately 93% of respondents reported higher or same production levels, and 89% anticipated higher or same domestic orders. Despite this positive outlook, manufacturers faced rising production costs due to higher raw material prices, currency depreciation, and increased logistics, power, and utility expenses. Capacity utilization saw a slight dip to around 72%. The survey covered over 250 manufacturing units from eight major sectors, including automobile, capital goods, chemical, fertilizer & pharmaceuticals, electronics & electricals, machine tools, metal, and textiles, with a combined annual turnover exceeding ₹8 lakh crore. The future investment outlook remains steady, and hiring intentions have improved, with 41% of firms planning to add workforce. Access to finance was reported as adequate by 86% of respondents.