look news india
Mumbai: The HSBC Purchasing Managers' Index (PMI) for the country's manufacturing sector rose to 58.30 in June from 57.50 in May as orders rose on strong demand.
Strong demand resulted in a rise in orders and production. Hiring of new employees in manufacturing units also rose to a more than 19-year high last month as activity increased. Expenditure pressures eased in June compared to May.
The June PMI was five points above the long-term average. An index above 50 indicates expansion in that region.
The survey report said that the condition of the consumer goods segment remained strong last month. The total sales in the manufacturing sector also witnessed a sharp increase.
Strong demand, increased export orders and successful advertising supported sales growth. The increase in new orders forced companies to hire more employees.
The June quarter has also been strong for the manufacturing sector. Due to strong demand, manufacturers adopted a strategy of passing on cost pressure to consumers in June, resulting in an increase in the margins of companies.
The report also mentions increased export demand from countries such as Australia, Brazil, Europe and Canada.
