Demand improvement quickens Nov production output: PMI

TNN Bureau. Updated: 12/2/2019 7:32:44 PM Business and Economy

Mumbai, Dec 2 (IANS) Improvement in overall demand conditions along with new product launches accelerated India's manufacturing sector output in November, a key economic indicator showed on Monday.

The seasonally adjusted IHS Markit India Manufacturing Purchasing Managers' Index (PMI) showed an index reading of 51.2 in November 2019 from 50.6 reported for October.

An index reading of above 50 indicates an overall increase in economic activity, or growth, and below 50, an overall decrease.

"Indian manufacturing production increased only moderately in November, albeit at a quicker rate than October's two-year low," the India Manufacturing PMI report said.

"Anecdotal evidence suggested that growth was supported by the launch of new products and better demand, though restrained by competitive pressures and unstable market conditions."

Besides, the survey indicated that manufacturers were partly helped by external markets, as signalled by a further expansion in international sales.

"Consumer goods provided the main impetus to overall growth, while the intermediate goods category returned to expansion territory," the report said.

"Conversely, there was a solid deterioration in operating conditions at capital goods makers."

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