Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 

Manufacturing trend negative; pronounced in north

Media statement Friday, November 11th, 2005

Manufacturing trend negative; pronounced in north

The trend for manufacturing shows the sector’s October performance in decline, which will see the labour and skills shortages ease by early next year, the Employers & Manufacturers Association (Northern) says.

The trend is evident in the Business New Zealand Performance of Manufacturing Index (PMI), which is more pronounced in the north.
Yesterday’s good unemployment figures related to September.

“The PMI in October for the regions north of Taupo was 48.4 following an index of 52.1 in September, 54 in August and 44.8 in July,”said Bruce Goldsworthy, EMA’s Manager of Manufacturing Services.

“By contrast last year in October the PMI in the north recorded 56.8 and in October 2003 it was 64.2, both very substantial expansions in activity. (Above 50 indicates growth; below 50 signals contraction).

“Now, the sub indices of the PMI for New Orders, Employment and Deliveries all show a similar declining trend.

“With manufacturers employing 300,000 people in full time jobs with higher skills and better than average pay, these trends give us no reason to believe the present high employment rates will continue much longer.

“Very few of our sample this month of nearly 200 manufacturers in the north mentioned they were still facing staff shortages.

“The main blame for the decline is the ongoing strength of the NZ dollar which has all but eliminated exporters margins and causing intense price competition on the home market from imports.

“Other factors include the rise in fuel and transport costs, higher interest rates, slower Australian sales, and the general slowing in the local economy.

“As a consequence business confidence is falling away further.”

ENDS

© Scoop Media

 
 
 
Business Headlines | Sci-Tech Headlines

 

Hospitality NZ: Hospitality Wages Jump 9% To Pass Living Wage
Wages and salaries across the hospitality sector continue to increase despite businesses having to battle through some of the toughest trading periods in living memory... More>>



Climate Leaders Coalition: Launches New Statement Of Ambition, Appoints New CEO Convenor

The Climate Leaders Coalition is tonight officially launching a new Statement of Ambition to accelerate business action on climate change... More>>


Retail: New Law Paves Way For Greater Supermarket Competition

Legislation that bans major supermarkets from blocking their competitors’ access to land to set up new stores paves the way for greater competition in the sector, Minister of Commerce and Consumer Affairs Dr David Clark said... More>>



MYOB: New Data Shows Increase In SMEs Experiencing Stress And Anxiety

The lingering impacts of the COVID-19 pandemic have led to a surge in the number of local SME owners and operators experiencing stress and anxiety, according to new research from business management platform, MYOB... More>>



Carbonz: Cashing In On Carbon: The New Marketplace Helping Native Forest To Thrive

The country’s first voluntary carbon credit marketplace, Carbonz, is here to restore native biodiversity and help Aotearoa reach its carbon zero goals by selling the first carbon credits exclusively from native forest... More>>
Entrust District: Dividend Will Be Welcomed After Another Tough Year
We’ve all heard of the saying; “if it sounds too good to be true, it probably is” but for Aucklanders within the Entrust District, getting their share of Entrust’s 2022 annual dividend payment really is as good as it sounds... More>>