Latest news with #ManufacturingPurchasingManagersIndex
Business Standard
01-08-2025
- Business
- Business Standard
India's manufacturing sector continues to strengthen in July
Manufacturing sector conditions in India continued to strengthen in July, with the HSBC PMI climbing to a 16-month high due to faster increases in new orders, output and stocks of purchases. Firms bought extra inputs to broadly the same extent as in June, however, whilst job creation receded to the weakest since November 2024. Meanwhile, business confidence retreated to its lowest level in three years. Cost pressures intensified, though remained negligible by historical standards, while the latest increase in selling prices was stronger than the long-run series average. Rising from 58.4 in June to 59.1 in July, the seasonally adjusted HSBC India Manufacturing Purchasing Managers Index (PMI) signalled the strongest improvement in the health of the sector since March 2024. Supporting the uptick in the headline figure was a sharp and accelerated expansion in new orders placed with Indian goods producers. Subsequently, production growth strengthened to a 15-month high in July and outpaced the series trend. Although rising international demand from across the globe reportedly contributed to the overall upturn in total sales, new export orders increased to a lesser extent than in June. Indian manufacturers remained confident of a rise in output over the course of the coming 12 months, but the overall level of positive sentiment fell to its lowest mark in three years. Charge inflation quickened only fractionally from June, but the rate of increase was above that seen for input costs and its own trend. On the purchasing side, goods producers sought to replenish their inventories by acquiring additional inputs. Elsewhere, a further improvement in vendor performance supported another increase in stocks of purchases. The latter expanded to the greatest extent in 15 months. Inventories of finished goods decreased further in July, with companies continuing to suggest that sales had been met from warehoused products.
Business Standard
01-07-2025
- Business
- Business Standard
India manufacturing growth continues as new export orders growth surge
The seasonally adjusted HSBC India Manufacturing Purchasing Managers Index (PMI) rose to a 14-month high of 58.4 in June, up from 57.6 in May. The headline figure was above its long-run average of 54.1 and pointed to a substantial improvement in the health of the sector. The manufacturing sector experienced a strong end to the first fiscal quarter, marked by improved trends in output and new orders, alongside a record upturn in employment. Companies also welcomed one of the fastest increases in external orders in the over 20 years of survey history. Goods producers lifted input buying to the greatest extent in 14 months, which supported a further expansion in stocks of purchases. Meanwhile, cost inflation eased to its lowest mark since February and was relatively negligible. Producer prices rose markedly, however, as demand buoyancy allowed firms to pass on higher freight, labour and metal costs to clients. Production volumes increased at the fastest pace since April 2024, reportedly fuelled by efficiency gains, favourable underlying demand and greater sales volumes. June also saw a quicker upturn in new order inflows. Indeed, growth of new export orders gained considerable momentum in June. Sector data indicated faster increases in international orders in the consumer, intermediate and investment goods categories. Having stagnated in May, outstanding business volumes increased in June. Input price inflation retreated to a four-month low, despite rising iron and steel costs. Strength in new business intakes was a significant factor influencing trends in purchasing activity and input stocks. Inventories of finished goods fell again, however, as businesses often had to dig into warehouses to fulfil demand growth. The outlook for the Indian manufacturing sector remained positive in June.
Business Standard
02-06-2025
- Business
- Business Standard
India's manufacturing PMI drops to 57.6 in May
Falling from 58.2 in April to 57.6 in May, the seasonally adjusted HSBC India Manufacturing Purchasing Managers Index (PMI) highlighted the weakest improvement in operating conditions since February. The headline figure was nevertheless well above both the neutral mark of 50.0 and its long-run average of 54.1. May data indicated another robust improvement in business conditions across India's manufacturing industry. Although rates of increase in new orders and output retreated to three-month lows, they remained well above their respective long-run averages. Panellists suggested that demand strength continued to support sales and production, though competition, inflation and the India-Pakistan conflict had reportedly weighed on growth. Goods producers lifted input buying and headcounts again, with the latter experiencing a series-record upturn. Meanwhile, cost inflation climbed to a six-month high and selling prices were raised to one of the greatest extents seen in circa 11-and-a-half years. Ongoing increases in new orders continued to support output, but rates of expansion receded to their weakest in three months. New export orders rose at one of the strongest rates recorded in three years. Positive sales developments encouraged companies to purchase additional inputs for use in production processes. Companies operating in India's manufacturing economy faced another monthly increase in purchasing prices. Sustained job creation enabled manufacturers to stay on top of their workloads in May. Outstanding business volumes was unchanged, ending a six-month period of accumulation. Indian manufacturers remained strongly confident of a rise in output over the course of the coming 12 months. Among the main opportunities to growth, they remarked on advertising and new customer enquiries.
Business Standard
02-05-2025
- Business
- Business Standard
India's manufacturing sector growth hits 10-month high in April
Growth momentum in the Indian manufacturing industry improved in April, with output increasing at the fastest pace since June 2024 on the back of another strong expansion in order books, a monthly survey said on Friday. Total sales were supported by the second fastest upturn in international orders since March 2011. This positive trend was accompanied by notable rises in employment and purchasing activity. Robust demand for Indian goods boosted firms' pricing power, with selling charges hiked to the greatest degree since October 2013. This was despite a modest uptick in input costs. Despite rising only fractionally from 58.1 in March to 58.2 in April, the seasonally adjusted HSBC India Manufacturing Purchasing Managers Index showed the strongest improvement in the health of the sector for ten months. The headline figure was spurred by faster increases in stocks of purchases, employment and production.
