India’s factories spun more output in October, a boost that puts the country’s industrial growth firmly back on track. The HSBC India Manufacturing Purchasing Managers’ Index (PMI) jumped to 59.2 from 57.7 in September, showing the strongest pace of expansion seen in August and a clear sign that manufacturing is on a roll.
The rise comes as new orders and factory production surged early in the third quarter, helped by a fresh push in advertising and recent updates to the goods‑and‑services tax (GST 2.0). The boost in domestic demand means more goods are being built and sold inside India, keeping production levels high even as export orders grow more slowly.
A PMI reading above 50 means the sector is expanding, while below 50 signals a pullback. The current 59.2 keeps the manufacturing sector well above the breakeven point, signalling robust growth.
The surge is tied to higher employment and steady hiring, marking the twentieth consecutive month of job creation. Firms have also added these new jobs without a sharp rise in labor costs, keeping employment growth moderate and steady.
Input prices have edged lower in October, but manufacturers have raised their selling prices—passing on higher freight and labor costs to customers. Even with lower input inflation, the cost of production remains the highest in a decade, but firms can afford to hike prices due to strong consumer demand.
Manufacturers remain upbeat, crediting the GST reforms, rising capacity, and stronger marketing efforts for their optimistic outlook. As India’s factories keep expanding, the country’s economy looks set to keep growing in 2025.
Source: ianslive
Stay informed on all the latest news, real-time breaking news updates, and follow all the important headlines in world News on Latest NewsX. Follow us on social media Facebook, Twitter(X), Gettr and subscribe our Youtube Channel.
