What is the story about?
BENGALURU,
April 2 (Reuters) - India's manufacturing sector grew at its slowest pace in nearly four years in March as the war in the Middle East stoked uncertainty, disrupted supply chains and dented demand, while higher oil prices drove up input costs, a private survey showed.
Here are the key details:
* The HSBC India Manufacturing Purchasing Managers' Index(PMI), compiled by S&P Global, fell to 53.9 in March from 56.9in February, broadly in line with a preliminary estimate of53.8. * New orders - a key gauge for demand - and output expandedat their weakest rate in close to four years. * "Disruptions linked to the conflict in the Middle East arereverberating through the global economy and weighing on Indianmanufacturers," said Pranjul Bhandari, chief India economist atHSBC. * Export orders surged to a six-month high in March. * Firms faced their steepest cost pressures since August2022, with prices for aluminium, chemicals, fuel and steel allrising sharply. * Despite the surge in input costs, companies raised sellingprices at the slowest pace in two years. * Employment growth stayed solid in March with the pacehitting a seven-month high as firms added staff to clearbacklogs and support expansion plans. * Manufacturers remained optimistic about the year aheadwith sentiment reaching its highest since May 2024 onexpectations of agricultural strength and capacity expansion.(Reporting by Shaloo Shrivastava;Editing by Shri Navaratnam)
