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Informist, Thursday, Oct. 1, 2026

 

--India Sept manufacturing PMI 55.1 vs 52.8 in Aug

 

NEW DELHI – Growth in India's manufacturing sector activity picked up in September on the back of faster increase in new orders, S&P Global said on Thursday. The latest data "signalled the strongest improvement in the health of the sector for seven months," S&P Global, which compiles the PMI, said.

 

The HSBC India Manufacturing Purchasing Managers' Index rose to 55.1 in September from 52.8 in August. "September data showed a recovery in growth momentum across India's manufacturing industry, with faster increases in new orders and output supporting job creation and inventory accumulation," S&P Global said in a release.

 

The final manufacturing purchasing managers' index for August was below the flash estimate of 55.7, released on Sept. 23. A purchasing managers' index reading of more than 50 denotes expansion in activity from the previous month, while a print below 50 indicates contraction. 

 

"The PMI rose to 55.1 in September, up from 52.8, as stronger domestic and overseas demand lifted sales and production," Pranjul Bhandari, Chief India Economist at HSBC, said. "Hiring resumed at its fastest pace since May, and manufacturers became more optimistic about the months ahead. Companies bought more materials and built up stocks to prepare for anticipated sales. Finished goods inventories recorded their second-largest increase in nearly 12 years, signalling a clear shift from leaner stock levels."

 

 

Strong demand for electronic, food, pharmaceutical and textile products reportedly led to a sharper increase in new business intakes, according to S&P Global. The upturn in total sales was the fastest since February, it added. 

 

New export orders also grew at a quicker pace, with greater demand from businesses in Brazil, Europe, the United Arab Emirates and the US, it said. This pick-up in demand momentum spurred the sharpest expansion in Indian factory production for four months.

 

"Intermediate goods was the brightest area of India's manufacturing industry during September, topping the growth rankings for both new orders and output. Capital goods was the weakest link, recording only modest increases that were weaker than in August," S&P Global said.

 

Further, growth in jobs resumed in September and was the most pronounced since May, after a blip in the previous month, it said. Indian manufacturers upgraded their output forecasts in September, with the overall level of positive sentiment touching a four-month high, it said.

 

Meanwhile, cost pressure was most in the intermediate goods categories, and weakest among capital goods producers. On selling charges, the sharpest upturn was registered in the consumer goods segment, S&P Global said. End

 

Reported by Shweta and Pratiksha

Edited by Akul Nishant Akhoury

 

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