Manufacturing sector shows good growth in the third quarter
By Sunita Menon - Sep 12th 2018, 08:45
The manufacturing sector kicked off the third quarter with strong growth.
Production in the sector increased by 2.9% in July compared with a year ago, after a 0.6% increase in June.
The largest contributions were made by the food and beverages sector (5.8% and contributing 1.5 percentage points); motor vehicles, parts and accessories and other transport equipment (8.3% and contributing 0.6 of a percentage point); and wood and wood products, paper, publishing and printing (3.9% and contributing 0.4 of a percentage point).
Seasonally adjusted manufacturing production increased by 1.6% in July compared with June, following month-on-month changes of 0.2% in June and 1.3% in May.
Compared to the flat growth the sector saw in the second quarter, seasonally adjusted manufacturing production increased by 1.9% in the three months ended July 2018 compared with the previous three months with six of the 10 manufacturing divisions reporting positive growth rates over this period.
In June, the Absa purchasing managers’ index (PMI), which gauges activity in the manufacturing sector, breached the 50 neutral-level, after two months of contractions. The index jumped to 51.5 in July after falling to 47.9 in June.
The PMI tends to be a reliable forecaster of the monthly manufacturing sales and output figures, which Stats SA publishes about two months later.
SA economy at risk of third-quarter contraction
11/10/2019 - 09:54
Dismal mining and manufacturing figures for August have raised the prospect of a third-quarter economic contraction.
Rising feed costs clip Astral’s wings
11/10/2019 - 09:06
Astral Foods, SA’s largest poultry producer, said that rising feed costs and disappointing consumer spending patterns would crop its earnings in the year to end June.
SA's economy enters 70th month of downward cycle
09/10/2019 - 15:50
South Africa’s economy remains stuck in its longest downward cycle since 1945, adding to pressure on the government to implement reforms to lift business confidence and boost growth.
Business sentiment takes a turn for the better in September
09/10/2019 - 15:34
Business sentiment, as measured by the SA Chamber of Commerce and Industry (Sacci) business confidence index, took a positive turn in September.
Stats SA’s seasonal adjustment models are part of regular rebasing
08/10/2019 - 10:53
Every year, SA’s economic activity peaks in the fourth quarter (October-December). On the production (or industry) side of GDP, this pattern is driven mainly by three industries: manufacturing; trade, catering and accommodation; and transport, storage, and communication.