The Nikkei India Manufacturing Purchasing Managers' Index (PMI) rose to a five-month high of 52.5 in March compared to 50.7 in February, a statement released by Markit Economics said.
The Nikkei India Manufacturing Purchasing Managers' Index (PMI) rose to a five-month high of 52.5 in March compared to 50.7 in February, a statement released by Markit Economics said.
"The health of India's manufacturing sector improved for the third straight month in March, and to the greatest extent since October 2016. Income new orders expanded at a stronger pace, thereby leading to quicker increases in production and input purchasing. Moreover, firms hired additional employees to cope with greater workloads," it said.
PMI or the index which indicates the performance of the manufacturing sector in the economy, showed "that operating conditions in the sector improved to a greater extent."
The report's author Pollyanna De Lima, Economist at IHS Markit, said, "Amid evidence of strengthening demand, the level of new orders received by manufacturers rose solidly in March and at the quickest pace in five months. Production also expanded at the strongest rate since Last October as firms sought to fulfil new and existing projects."
Business confidence amongst manufacturers improved in March with almost one-fifth of panellist expecting output levels at their units to be higher in 12 months' time, she said.
"Manufacturing jobs also rose in March as some firms took on extra staff in line with efforts to expand capacity. However, the rate of job creation was only slight."
Commenting on the PMI figure, she said, "PMI data for March reveal positive developments in the Indian manufacturing sector. Rates of expansion in factor orders and production accelerated again, encouraging some companies to scale up their input buying and take on additional workers.
"Looking ahead, production volumes are likely to rise further as businesses will seek to replenish their stocks," she said.
The BSE was trading at 29,782.43, up Rs 161.93 or 0.55% from previous close.
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
 "Representational Image")
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
)
){kind=small}
){kind=small}
)
)
)
)
)
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}