close
MENU
1 mins to read

Some improvement for manufacturers, exporters

Sales for manufacturers and exporters rose slightly in February but confidence headed lower, according to the latest New Zealand Manufacturers and Exporters Association Survey of Business Conditions.Export sales fell 16 percent, while domestic sales rose

NZPA
Wed, 07 Apr 2010

Sales for manufacturers and exporters rose slightly in February but confidence headed lower, according to the latest New Zealand Manufacturers and Exporters Association Survey of Business Conditions.

Export sales fell 16 percent, while domestic sales rose by 12 percent compared with February 2009.

Net confidence fell to 36, down from the 45 result reported last month. Confidence had recovered from negative territory in December.

Staff numbers for February fell by 8 percent on a year earlier.

"Index numbers and future expectations are continuing to improve which is a positive sign, but the sales and staff numbers give a more accurate picture of where the economy is right now," said NZMEA chief executive John Walley.

The current performance index (a combination of profitability and cash flow) was at 105.5, up from 100.5 in January, the change index (capacity utilisation, staff levels, orders and inventories) went up to 103 from 99, and the forecast index (investment, sales, profitability and staff) was at 106, up on February's result of 104.5.

A number above 100 indicates expansion.

The NZMEA survey's February sample covered $428 million in annualised sales, with an export content of 29 percent.

"Export sales and staff numbers are still a concern with an overvalued exchange rate and weak international markets combining to ruin returns to exporters," Mr Walley said.

The survey gathers results from NZMEA members around New Zealand, to provide a monthly snapshot of manufacturers' and exporters' sales and sentiment.

NZPA
Wed, 07 Apr 2010
© All content copyright NBR. Do not reproduce in any form without permission, even if you have a paid subscription.
Some improvement for manufacturers, exporters
3948
false