Manufacturing activity eases in Oct as new order growth drops
Manufacturing activity in India experienced a slowdown in October, decreasing from the previous month's growth. Despite this, the sector remained above its long-run average due to stronger international demand. A survey indicated that nearly 18% of manufacturers anticipated increased output over the next year, supported by fresh client inquiries.
India's manufacturing activity moderated in October as growth in new orders and output slowed, according to a private survey released by HSBC. The HSBC Purchasing Managers Index (PMI) fell to 54.7 in October from 55.1 in September and 59.2 a year earlier, indicating expansion but below its long-run average. Despite this, export order growth reached a six-month high, supported by strong demand from overseas markets, including Bangladesh, Canada, Indonesia, Nepal, Oman, Saudi Arabia, Sri Lanka, the UK, the US, and the UAE.
Business confidence weakened from September and remained below its long-run average, but optimism was supported by fresh client enquiries and demand for industrial automation and technology solutions. Manufacturers also increased input inventories to the greatest extent in eight months to mitigate potential shortages.
Brief written by urgent.news from The Economic Times - Economy's own syndicated text. Machine-written — may contain errors; check the original before relying on it.
