India's Manufacturing PMI rises to 56 in November amid strong growth

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Purchasing Managers' Index (PMI) climbed to 56 last month, rebounding from October's eight-month low of 55.5. Also Read: Mumbai's property registration witnesses best November in 11 years: Knight Frank Report "A notable feature of the latest results was a significant reduction in price pressures. Although average purchasing costs saw an increase, the inflation rate eased to its lowest level in the past 40 months and remained negligible historically," the survey noted.

Pollyanna De Lima, Economics Associate Director at S&P Global Market Intelligence, commented on the sustained strength of India's manufacturing industry in November. She highlighted the sector's regained growth momentum in output. De Lima emphasized that the sector's success continued to hinge on firms securing new business both domestically and internationally.

This sustained growth in new orders also positively impacted the labour market, with recruitment maintaining an upward trajectory. Also Read: India home prices to outstrip inflation, driven by high end of market De Lima expressed confidence in India's manufacturing economy, noting expanded capacities, increasing workloads, and the need to replenish finished goods stockpiles. These factors collectively indicate the sector's current robust state as the year draws to a close, with expectations for a continued strong performance in 2024.

The survey, conducted by S&P Global, involved responses from around 400 manufacturers' purchasing managers. It highlighted a notable acceleration in output growth after a slowdown in October, attributed to rising client demand and improved input supply. Inflationary pressures receded, with purchase costs rising at the slowest pace since August 2020.