Easing Covid-19 restrictions and healthy market conditions on the back of higher demand accelerated India`s manufacturing sector growth in October.

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The period under consideration also coincides with the start of the festive season in India which traditionally sees higher off-take.

In response to strong sales gains and softer containment measures related to the Covid-19 disease, firms lifted production at the strongest pace recorded since late 2007.

Consequently, the headline seasonally adjusted IHS Markit India Manufacturing Purchasing Managers` Index (PMI) pointed to the strongest improvement in the health of the sector in over a decade.

The growth was led by the intermediate goods category, but there were also robust expansions in the consumer and investment goods sub-sectors, cited the Manufacturing PMI report.

Resultantly, the reading on the index showed a rise from 56.8 in September to 58.9 in October.

Moreover, the upturn in sales was the strongest since mid 2008. New export orders likewise rose at a quicker pace, one that was the most pronounced in close to six years.

The story has been taken from a news agency