ENA Sectors 2024-05-02 14:26:56 <p><span style="font-size:14px"><strong>New Delhi, May 2 (KNN)</strong> India's manufacturing sector experienced a slight moderation in growth during April, however, it remained firmly entrenched in a robust expansionary trajectory, according to the latest purchasing managers' index (PMI) data released on Thursday.</span></p> <p><span style="font-size:14px">The HSBC India Manufacturing PMI eased to 58.8 in April from March's 16-year peak of 59.1, though it continues to signal a marked improvement in operating conditions.</span></p> <p><span style="font-size:14px">The report highlighted that resilient domestic demand fuelled a sharp rise in overall new orders at manufacturers, with the rate of expansion being among the strongest registered since the beginning of 2021.</span></p> <p><span style="font-size:14px">Successful marketing campaigns were also cited as supportive factors bolstering order book volumes. External demand displayed positive signals as well, with new export orders increasing notably, albeit at a more tempered pace compared to total sales.</span></p> <p><span style="font-size:14px">To fulfil order requirements, manufacturing companies stepped up input purchasing at one of the fastest rates on record. Employment levels also saw a moderate increase as firms augmented production capacities to meet current and anticipated demand growth.</span></p> <p><span style="font-size:14px">On the price front, input costs faced upward pressure from higher raw material prices and labour costs, though overall cost inflation remained below historical norms. Manufacturers passed on a portion of the increased cost burdens through higher selling prices, a move enabled by the prevailing strength of demand conditions.</span></p> <p><span style="font-size:14px">Pranjul Bhandari, Chief India Economist at HSBC, commented, April's manufacturing PMI signalled the second-strongest improvement in operating conditions over the past three-and-a-half years, underpinned by robust demand dynamics.</span></p> <p><span style="font-size:14px">Bhandari noted that while input cost pressures were modest overall, resilient consumer demand allowed firms to protect profit margins via output price hikes.</span></p> <p><span style="font-size:14px">The India Manufacturing PMI has now surpassed the neutral 50.0 threshold for 26 consecutive months, with the latest reading considerably above the long-run series average of 53.9, underscoring the health of India's manufacturing economy.</span></p> <p><span style="font-size:14px"><em><strong>(KNN Bureau)</strong></em></span></p> 37646 https://knnindia.co.in/news/newsdetails/sectors/indias-april-manufacturing-pmi-eases-to-588-down-from-marchs-16-year-peak 2024-05-02 14:26:56 knnindia.co.in