Total manufacturing down, industry activity mixed

Embargoed until 10:45am – 08 December 2009

Total manufacturing down, but industry activity mixed

Total manufacturing activity (measured by seasonally adjusted sales volumes) fell 1.4 percent in the September 2009 quarter, Statistics New Zealand said today. However, excluding meat and dairy product manufacturing, volumes rose 1.0 percent. "This rise, the first in seven quarters, follows a 15-year low last quarter," said business statistics manager Louise Holmes-Oliver.

At the total sales level, meat and dairy product manufacturing was the dominant industry, with a 7.1 percent drop in volumes in the September 2009 quarter driving the overall decline. Excluding this industry, results were mixed, with six industries showing falls, six showing rises, and two showing little or no change. The industries with the largest volume movements in the latest quarter were:

* meat and dairy, down 7.1 percent
* wood products, up 9.1 percent
* basic metals, up 21.5 percent
* machinery and equipment, down 4.4 percent.

The value of sales (also adjusted for seasonal effects) fell by 5.1 percent ($1,004 million) in the September 2009 quarter. This is the fourth consecutive quarterly fall and has lowered sales to a level last seen in early 2007. Meat and dairy product manufacturing was again the dominant cause of the fall, mainly due to lower prices for dairy products. Excluding this industry, sales values were still down, but by a lesser 0.8 percent.

The trend for the sales volume is down for the seventh consecutive quarter, while the trend for the sales value is down for the latest three quarters.

Economic Survey of Manufacturing Sep 09 qtr (pdf)

Economic Survey of Manufacturing Sep 09 qtr – Tables (xls)

ENDS

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