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Paint Industry Branch Supervisor Plettenberg Bay

Manufacturing gains momentum: BER

6 Dec 2010

The Bureau for Economic Research's (BER) fourth quarter (Q4) manufacturing survey reveals that confidence in the sector increased by 11 index points to 41 in the fourth quarter of the year.

However, the analysts caution that this does not detract from the fact that profitability in the sector "remains under considerable pressure". The survey reflects an improvement in demand.

The results showed a continued improvement in domestic sales volumes, with that indicator reaching a three-year high.

One of the main highlights was a better than expected export performance.

But BER economist Nkanyiso Hlongwa says while demand for SA exports improved during the quarter, export selling prices did come under pressure due to competition, the rand and low inflation.

Source: I-Net Bridge

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