PMI: Growth rate of the country's manufacturing sector was at its lowest level in 18 months in December; Revealed in the survey
PMI: HSBC India Manufacturing PMI has been prepared by S&P Global from the responses to a questionnaire sent to purchasing managers in a panel of about 400 manufacturers. The report said India's manufacturing sector continued to expand in December, although it slowed after accelerating in previous months.
India's manufacturing sector growth slowed to an 18-month low in December amid modest growth in factory orders and output despite minimal inflation. The HSBC India Manufacturing PMI survey conducted by S&P Global showed that factory orders and output have moderated but business confidence has strengthened for the period ahead.
The seasonally adjusted HSBC India Manufacturing Purchasing Managers' Index (PMI) fell to an 18-month low of 54.9 in December from 56 in November. In Purchasing Managers' Index (PMI) parlance, an index above 50 indicates expansion while a score below 50 indicates contraction.
The HSBC India Manufacturing PMI has been developed by S&P Global based on responses to a questionnaire sent to purchasing managers across a panel of nearly 400 manufacturers. "India's manufacturing sector continued to expand in December, although it moderated after accelerating in previous months," the report said.
Pranjal Bhandari, chief India economist at HSBC, said, "While both output and new orders growth have moderated, the futures output index, on the other hand, has increased since November. Despite the deceleration in growth, the sector recorded strong growth in December." be extended."
December data showed that international order receipts from goods producers in India increased for the 21st consecutive year. The companies have cited benefits from customers in Asia, Europe, the Middle East and North America. Sales of new exports grew at a moderate pace, the joint slowest in eight months.
On the prices front, input costs rose at the second slowest rate in nearly three and a half years and inflation fell to a nine-month low. The commodities whose prices are reported to be increasing include chemicals, paper and textiles. According to the survey, the inflation rate since November was almost negligible by historical standards and the weakest for the second time in less than three and a half years.
"There was broadly no change in the rates of increase in raw material and output prices," Bhandari said. HSBC India's PMI data shows that the pressure on manufacturers' capacity has eased at the end of the third quarter. Employment remained largely stable in December.
