9 Sep 2010

Manufacturing sales fall to 10-year low

1:31 pm on 9 September 2010

The volume of manufacturing sales has fallen to a 10-year low.

Statistics New Zealand says volumes fell 1.8% in the three months to June, led by lower meat and dairy volumes, as well as textiles and clothing, beverages and structural metals.

The seafood, fruit and vegetables sectors suffered the largest decline, with volumes falling 5.7%.

The senior economist at UBS investment bank, Robin Clements, says that while manufacturing has cooled, he expects it to return to growth in the coming months.

The value of sales rose 3%, thanks to a jump in meat and dairy prices.

Excluding those two, value fell more than 2%, with most sectors experiencing declines.