21 Jan 2016

Boost to manufacturing sector

12:09 pm on 21 January 2016

The manufacturing sector is at its highest level of expansion in over a year.

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Photo: 123rf

The BNZ-Business New Zealand Performance of Manufacturing Index climbed 1.8 points to 56.7 in December.

A reading above 50 indicates expansion.

Last month's result marked the highest level of growth since October 2014.

BNZ senior economist Craig Ebert said the index was bucking the trend.

"The index remains notable for the way it keeps defying the struggle that global manufacturing continues to undergo," he said.

Business New Zealand executive director for manufacturing Catherine Beard said the December result was an encouraging way to end the year.

"Overall, it has been a solid and positive year for the sector.

"Although the PMI averaged 54.2 over 2015, compared with 56.0 for both 2013 and 2014, the slightly lower expansion level was partly due to the first half of 2015 experiencing a moderate patch of growth.

"However, results over the last few months have seen the sector in stronger expansion," she said.

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