|Source: CSO |
Annual Irish industrial production for Manufacturing Industries for July 2009 was 8.9% higher than in July 2008. Turnover was down 11.8% while US-owned pharmaceutical products sector surged 68.3%, according to the CSO.
The most significant changes were in the following sectors: Basic pharmaceutical products and preparations (+68.3%), Other manufacturing (+20.7%) and Computer, electronic and optical products (-36.8%). The seasonally adjusted volume of industrial production for Manufacturing Industries for the three month period May to July 2009 was 4.7% higher than in the preceding three month period.
The “Modern” Sector, comprising a number of high-technology and chemical sectors, showed an annual increase in production for July 2009 of 27.0% while a decrease of 17.9% was recorded in the “Traditional” Sector
The seasonally adjusted industrial turnover index for Manufacturing Industries was 9.8% lower in the three month period May to July 2009 when compared with the preceding three month period. On an annual basisturnover was 11.8% lower when compared with July 2008, reflecting price cutting and exchange rate changes.
Commenting on the latest industrial production data from the CSO, IBEC Senior Economist Fergal O’Brien said:"At first glance the figures look positive for the manufacturing sector. However, almost all of the gains have been made in the pharmaceutical sector and unfortunately most other sectors of manufacturing remain in strong decline.
"In the first seven months of the year total manufacturing output was the same as that in the corresponding period last year, but a major divergence has occurred between the performance of the 'modern' sectors (pharmaceuticals, medical devices and ICT) and the more 'traditional' sectors of manufacturing. Output from the ‘modern’ sector was up 9% over this period, but that in the ‘traditional’ sector fell by 15%.
"Unfortunately July did not see any improvement in the fortunes of firms in the ‘traditional’ sector as the rate of output decline reached a new high for the year of 17.9%. July output from the ‘modern’ sector was up 27% on the back of a near 70% increase in pharmaceutical output.
"A further difficulty for manufacturing in this crisis has been downward pressure on selling prices. The CSO data show that output volumes increased by 9% in the month of July, while turnover dropped by almost 12%."