FRIDAY, 11.000AM
WITH domestic demand cooling as the economy slows, manufacturing is saving the day, with export production driving output to a record high in April, according to latest Central Statistical Service figures.
Manufacturing output in SA increased 12% from March to April, campared to 7,6% over the same period last year, and comes after a strong first quarter. Analysts believe, however, that increased exports are being driven more by the slowdown in local demand than by any price advantages from the exchange rate, and concerns were expressed that the current relative strength of the local currency will have an effect. The positive sentiment generated by the figures was also somewhat dampened by latest employment figures, which show manufacturing employment falling 0,5% between January and February.
According to the CSS, manufacturing output increased 1,5% in the three months to April, mainly due to higher iron and steel production, mining equipment exports to Africa, and certain chemical products.