Manufacturing activity in India surges in October, at its quickest pace in four months
The Nikkei India Manufacturing Purchasing Managers’ Index score rose to 53.1 for October from 52.2 in September.
Manufacturing activity in India expanded at its fastest pace in four months in October, according to the Nikkei India Manufacturing Purchasing Managers’ Index released by IHS Markit on Thursday.
The monthly index rose from 52.2 in September to 53.1 in October. The PMI has been above the 50-mark for the last 15 months. A reading above 50 shows an expansion, while a lower reading indicates a contraction in manufacturing activity.
The surge came on the back of increase in demand, technological advancements and favourable market conditions, the survey said. Job creation was the strongest since December 2017, it said, adding that businesses were able to lower their outstanding business volumes for the second straight month.
“Manufacturing continued to make up for ground lost in August, with a robust and accelerated rise in new orders boosting production growth in October,” said Pollyanna De Lima, principal economist at IHS Markit and author of the report. “The trend for employment was particularly encouraging with job creation at a ten-month high…however goods producers see challenges and uncertainties ahead, which in turn translated into the weakest degree of optimism seen in 20 months.”