Mumbai, Sep 3 : A slower rise in demand further eased the pace of India's manufacturing sector output in August, as the economy continued to face headwinds, key economic data showed on Monday.
According to the Nikkei India Manufacturing Purchasing Managers' Index (PMI), the composite indicator of manufacturing performance declined to a three-month low of 51.7, from 52.3 in July and 53.1 in June.
An index reading of above 50 indicates an overall increase in economic activity, or growth, and below 50 an overall decrease.
Commenting on the Indian manufacturing PMI survey data, Aashna Dodhia, Economist at IHS Markit and author of the report, said: "Indian manufacturers retained positive projections for output over the next 12 months, but the level of sentiment eased in August.
"Indeed, some of the key headwinds facing the economy include high global oil prices, monetary policy tightening and capital outflows from emerging markets."
Although sub-indices tracking output and total orders touched three-month lows last month, foreign demand rose at the quickest pace since February despite global trade tensions.
"PMI data suggested that external demand for Indian goods was also robust, with new export orders rising at the fastest pace since February," Dodhia said.
"Following rises in domestic interest rates, manufacturing companies gained some breathing space as input cost inflation moderated to the weakest since May and further from June's multi-year peak.
"That said, the rupee depreciation against the US dollar continued to place strong upward pressures on input prices," she added.
The Indian rupee reversed all the gains made earlier on Monday to close at an all-time low of 71.21 per dollar, tracking a weak trend among its global peers amid concerns of a wider trade deficit for the country.
An upswing in manufacturing activity and revival of private investment, supported by strong consumer demand, accelerated India's GDP growth rate in the first quarter (April-June) to 8.2 per cent, official data showed last week.
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Puttur: A tragic accident occurred on Sunday near Kuvettila in Kabaka, along the Mani-Mysuru National Highway, where a KSRTC bus collided head-on with a motorcycle, resulting in the death of a father and critical injuries to his son.
The deceased has been identified as Arun Kulal, a resident of Narikombu village in Bantwal taluk. His son, Dhyan, was seriously injured in the incident.
According to reports, the KSRTC bus was traveling from Puttur toward Mangaluru when it collided with the oncoming bike. The force of the impact threw both riders onto the road, leaving them severely injured. Though both were rushed to the hospital, Arun Kulal succumbed to his injuries en route, police confirmed.
The accident led to a temporary disruption in traffic on the Mani-Mysuru Highway, with vehicles backed up for several kilometers. Puttur traffic police reached the spot and are investigating the case.