12 Jul 2008

Tough times continue for manufacturing sector

5:57 am on 12 July 2008

The manufacturing sector continued to slow down in June, according to the latest survey.

The Bank of New Zealand/Business New Zealand Performance of Manufacturing Index fell 2.2% to 45.7. A reading below 50 indicates the manfacturing sector is generally declining.

It is the third time in four months the survey has indicated contraction in the sector, and follows the first decline in five years of the global Performance of Manufacturing index.

Business New Zealand chief executive Phil O'Reilly says almost every sector of the manufacturing industry recorded a decline in growth.

The exceptions were the machinery and equipment, textile, clothing and footwear sectors, however Mr O'Reilly says too much should not be read into that, with the overall picture of tough times for manufacturing.