Fueled by strong demand and easing input shortages, India’s manufacturing sector roared ahead in November, with the PMI hitting a scorching 56, up from 55.5 in October. This white-hot performance follows the recent GDP report showcasing robust 7.6% growth, suggesting the sector remains a key driver of the nation’s economic engine.
The latest PMI, based on responses from 400 companies, paints a picture of an industry firing on all cylinders. New orders, both domestic and export-driven, are booming, keeping factories humming and output expanding. This momentum is expected to continue, fueling further growth in the coming months.
Adding fuel to the fire, input availability is improving, easing supply chain bottlenecks that plagued manufacturers in the past. This, coupled with moderating inflation (at a 40-month low!), is helping to keep costs under control and margins healthy. While some manufacturers did raise selling prices, the increase was the mildest in seven months, suggesting a focus on affordability and competitiveness.
Even the employment picture is brightening, with a “tad better” situation reported by the survey. This is a welcome sign, as job creation is crucial for sustaining economic growth and improving overall well-being.
Overall, the November PMI is a resounding vote of confidence in India’s manufacturing sector. With strong demand, manageable costs, and improving supply chains, the industry is poised for continued success. This bodes well for the nation’s economic trajectory and its ambitions of becoming a global manufacturing powerhouse.