Manufacturing activity narrowly expanded in January and an economist says the picture for employment may start to look up by the middle of the year.
The BNZ Capital-Business New Zealand Performance of Manufacturing Index fell 1 point to 52 in January - a reading above 50 shows the sector is expanding.
BNZ economist Doug Steel says the sector is showing the classic signs of recovery with expansion in two key areas: new orders at 56.2 and production at 52.3.
However, finished stocks, deliveries and employment all fell.
