Manufacturing News South Africa

Production capacity utilisation falls slightly in May

The utilisation of production capacity by large manufacturers fell slightly to 80.2% in May 2015 compared with 80.4% in May 2014, mainly due to an increase in a shortage of raw materials. Statistics SA released the data on Thursday.
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Seven of the ten manufacturing divisions showed decreases in utilisation of production capacity in May this year compared with May last year.

The largest decreases were recorded in the glass and nonmetallic mineral products; petroleum, chemical products, rubber and plastic products; radio, television and communication apparatus and professional equipment; and wood and wood products, paper, publishing and printing divisions.

Capacity utilisation for the motor vehicles, parts and accessories and other transport equipment division rose.

The highest rates of utilisation of production capacity were reported in the motor vehicles, parts and accessories and other transport equipment; food and beverages; and radio, television and communication apparatus and professional equipment divisions.

Stats SA compiles the data after surveying 980 large enterprises with turnover greater than R100m per year. The results of the survey are used to assess the degree of capacity constraints experienced in the manufacturing industry.

Source: BDpro

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