August manufacturing production gains 1.3% on food and beverages

11th October 2018 By: African News Agency

Manufacturing production for August came in far better than the purchasing managers' index (PMI) for the same month had suggested, expanding 1.3% year-on-year from 2.8% in July.

Statistics South Africa reported on Tuesday that manufacturing production increased by 1.3% in August 2018 compared with August 2017. A 3.3% year-on-year increase in food and beverages made the largest positive contribution followed by basic iron and steel, non-ferrous metal products, metal products and machinery.

Petroleum output registered a modest expansion of 0.3% year-on-year, while vehicle production rose 5.6% year-on-year. 

The biggest detractors from the growth figure were the manufacture of electrical machinery and radio, television and communication apparatus, which contracted nine% and 9.7% year-on-year, respectively.

Nevertheless, the sector has expanded 1.9% quarter-to-quarter seasonally adjusted and seemed on track to make a positive contribution to third quarter GDP.