Manufacturing activity in Otago and Southland slumped to 41.3
points in June from 58.4 points in the same month last year,
the latest BNZ-Business NZ performance in manufacturing index
results show.
A reading below 50 indicates a decline in activity and above
50 shows an expansion. The New Zealand index fell slightly to
54.3 points from 55 in June last year.
Manufacturing in the region largely remained "in the
underperforming arena", Otago-Southland Employers Association
chief executive John Scandrett said.
However, there was some positive comment in June providing
indications that rural sector spending, particularly around
timber products, was beginning to track favourably, and new
marketing initiatives were "bearing the desired fruit" across
selected food and beverage manufacturing activities, Mr
Scandrett said.
He was hopeful the region, through the remainder of the year,
would capture its share of the growth starting to emerge in
other regions. The index stood stout in June, maintaining its
moderately expansionary levels achieved in May, despite the
soaring New Zealand dollar, the European debt crisis, and
further signs of a domestic slowdown in Australia and the US,
the BNZ report said.
Canterbury-Westland dropped slightly from 53.4 points in June
last year to 52.1.
A name, residential address, and (preferably residential) telephone number is required from readers who comment on ODT Online. These details will not be visible to site visitors.