NEW DELHI: India's factory activity expanded for the seventh straight month in February, driven by strong demand and increased output, according to a private sector survey that also showed input costs inflation hitting a 32-month high.
Although the Nikkei Manufacturing Purchasing Managers' Index , compiled by IHS Markit, eased slightly to 57.5 in February from 57.7 in January, it was well above the 50-level separating growth from contraction.
Sub-indexes showed output and new orders rose sharply last month, albeit at a slower pace than in January, indicating strong demand.
"Indian goods producers reported a healthy inflow of new orders in February, a situation that underpinned a further upturn in output and quantity of purchases," noted Pollyanna De Lima, economics associate director at IHS Markit.