15 Oct 2015

Manufacturing growth rises to highest level in seven months

4:32 pm on 15 October 2015

Growth in the manufacturing sector has risen to its highest level in seven months, driven by a lift in production, new orders and deliveries.

The growth comes despite weaker business and consumer confidence over the past few months.

The BNZ-Business New Zealand Performance of Manufacturing Index for September edged up 0.3 points to 55.4, the third consecutive monthly increase, and the highest since February.

A reading above 50 indicates expansion.

BNZ senior economist Doug Steel said manufacturers were doing better than other surveys would suggest, and the report pointed to fairly robust economic activity.

He said strong local consumer demand and better export returns because of a lower currency were offsetting weakness caused by the fall in dairy prices.