Subscribe & Follow
#CannesLions
- The new standardCarl Willoughby
- All the South African winnersDanette Breitenbach
- Final Grande Prix and LionsDanette Breitenbach
Trending
- #Cannes2024: All the South African winnersDanette Breitenbach
- Gauteng government buys newspaper space to praise MECDaniel Steyn, Joseph Bracken and Raymond Joseph
Jobs
- Credit Controller West Rand
- Electronic Workshop Technician Vereeniging
- Debtors/Creditors/General Accounts Clerk Pretoria North
- Senior Bookkeeper Irene
- Night Shift Production Manager Cape Town
- Hygiene and Cleaning Technologist Grabouw
- Buyer - Engineering Cape Town
- Finance Executive (Chartered Accountant) - Manufacturing Industry Atlantis
- Corporate Store Manager Johannesburg
- Debtors/Creditors/Payroll Clerk Hammanskraal
HSBC confirms drop in local manufacturing activity
![HSBC has confirmed that the outlook for manufacturing declined sharply in April. Image: David Castillo Dominici](https://biz-file.com/c/1405/195698.jpg)
The HSBC purchasing managers index (PMI) showed manufacturing output in South Africa dropped from March's 50.2 points to 49.4 in April‚ its lowest level since June last year.
This as private sector companies cited a decline in new business and disruptions caused by ongoing mining strikes.
The manufacturing sector is the second-largest contributor to gross domestic product‚ after mining.
The HSBC PMI index‚ produced by global research group Markit‚ followed the release of a disappointing Kagiso PMI survey‚ which scored manufacturing activity at 47.4 points last month‚ its lowest level since July 2011.
An index level of below 50 suggests a contraction in manufacturing-sector activity.
Like the Kagiso PMI‚ the HSBC survey showed new orders declined significantly in April‚ recording the quickest pace of contraction in nearly three years as strikes in the local mining sector constrained demand.
"The deterioration in business conditions facing private sector companies was broad-based‚ with output‚ new orders‚ and inventories contracting‚ delivery times lengthening‚ and the pace of job creation slowing‚ albeit still positive‚" HSBC Economist David Faulkner said.
He said that the protracted strike in the platinum sector remained a key factor behind weak activity levels‚ with no signs of an immediate resolution to the protest that has kept platinum production at Anglo Platinum‚ Impala Platinum and Lonmin's Rustenburg operations to a standstill since 23 January.
Panelists mentioned that‚ in addition to the mining strikes‚ the local elections weighed on demand.
Source: I-Net Bridge
![](https://biz-file.com/b/1206/36520.gif?3)
For more than two decades, I-Net Bridge has been one of South Africa’s preferred electronic providers of innovative solutions, data of the highest calibre, reliable platforms and excellent supporting systems. Our products include workstations, web applications and data feeds packaged with in-depth news and powerful analytical tools empowering clients to make meaningful decisions.
We pride ourselves on our wide variety of in-house skills, encompassing multiple platforms and applications. These skills enable us to not only function as a first class facility, but also design, implement and support all our client needs at a level that confirms I-Net Bridge a leader in its field.
Go to: http://www.inet.co.za![](/res/img/s.gif)