Demand push for manufacturing in April as PMI rises to 51.6

NEW DELHI: Supported by faster expansions in output and new orders, manufacturing conditions in India improved for the ninth month in a row in April, a private survey showed on Wednesday.

The Nikkei Manufacturing Purchasing Managers' Index, compiled by IHS Markit, rose to 51.6 last month from March's 51, above the 50-point mark that separates growth from contraction.

"The Indian manufacturing economy started the quarter on a slightly stronger footing as growth picked-up from March's five-month low, buoyed by stronger demand conditions," said Aashna Dodhia, economist at IHS Markit.


As per the survey, improvements in demand conditions and rising production resulted in marginal growth in job creation last month.

Driven by expectations of an improvement in demand, business sentiment was at the strongest level seen since the implementation of the Goods and Services Tax in July 2017.

The survey noted that optimism reflected expectations that new business and demand conditions will improve over the coming 12 months.