Manufacturing PMI Rises Marginally to 44.1% in July 2016 from 41.9 in June - CBN

Proshare

Monday, July 01, 2016 6:12PM /CBN

Manufacturing PMI Report

Production level, new orders, employment level and raw material inventories declining at a slower rate; supplier delivery time improving at a slower rate


The Manufacturing PMI rose marginally to 44.1 index points in July 2016, compared to 41.9 in the preceding month (Fig. 2 and Table 1). This indicates a slower rate of decline in the review period.

 

Of the sixteen manufacturing sub-sectors, thirteen recorded decline in the review month in the following order: electrical equipment; primary metal; nonmetallic mineral products; furniture & related products; fabricated metal products; printing & related support activities; food, beverage & tobacco products; textile, apparel, leather & footwear; paper products; petroleum & coal products; plastics & rubber products; transportation equipment; and chemical & pharmaceutical products.

 

The appliances & components sub-sector recorded no change, while the remaining two sub-sectors however recorded expansion in the following order: computer & electronic products; and cement.





Production Level

At 43.0 index points, the production level index for manufacturing sector declined for the seventh consecutive month, but at a slower rate than that recorded in June 2016.

 

Of the sixteen manufacturing sub-sectors, twelve recorded declines in production level during the review month in the following order: primary metal; plastics & rubber products; printing & related support activities; furniture & related products; appliances & components; nonmetallic mineral products; fabricated metal products; electrical equipment; paper products; food, beverage & tobacco products; transportation equipment; and textile, apparel, leather & footwear. The cement subsector remained unchanged.

 

The remaining three recorded growth in production level during the review month in the following order: computer & electronic products; chemical & pharmaceutical products; and petroleum & coal products (Table 2).


New Orders
The new orders index declined for the seventh consecutive month. At 42.4 points, the index declined at a slower rate when compared to that in June 2016.

 

The thirteen sub-sectors that recorded declines in new orders were: electrical equipment; primary metal; nonmetallic mineral products; fabricated metal products; furniture & related products; appliances & components; petroleum & coal products; paper products; textile, apparel, leather & footwear; food, beverage & tobacco products; printing & related support activities; plastics & rubber products; and chemical & pharmaceutical products.

 

The remaining three sub-sectors recorded growth in new orders as follows: computer & electronic products; transportation equipment; and cement (Table 3).



Supplier Delivery Time
At 51.7 index points, the supplier delivery time index for manufacturing sub-sectors improved at a slower rate than that in the month of June 2016. The index improved for the fifth consecutive month.

 

Eight sub-sectors recorded improving suppliers’ delivery time in the following order: plastics & rubber products; appliances & components; nonmetallic mineral products; textile, apparel, leather & footwear; furniture & related products; fabricated metal products; food, beverage & tobacco products; and chemical & pharmaceutical products.

 

The primary metal and printing & related support activities sub-sectors remained unchanged. The remaining six sub-sectors recorded worsening delivery time in July, in the following order: computer & electronic products; transportation equipment; electrical equipment; cement; paper products; and petroleum & coal products (Table 4).



Employment Level
Employment level index in the month of July 2016 stood at 43.8 points, indicating declines in employment level for the seventeenth consecutive month. The index declined at a slower rate when compared with the level in the preceding month.

 

Of the sixteen sub-sectors, nine recorded decline in the following order: transportation equipment; furniture & related products; textile, apparel, leather & footwear; food, beverage & tobacco products; printing & related support activities; fabricated metal products; nonmetallic mineral products; electrical equipment; and chemical & pharmaceutical products.

 

The paper products sub-sector remained unchanged. The remaining six sub-sectors recorded growth in the following order: computer & electronic products; appliances & components; cement; primary metal; plastics & rubber products and petroleum & coal products (Table 5).



Raw Materials Inventories
At 41.4 index points, the raw materials inventories index declined for the seventh consecutive month in the review period. The index declined at a slower rate when compared with the previous month.

 

Of the sixteen sub-sectors, fourteen recorded declines in raw materials inventories in the following order: computer & electronic products; nonmetallic mineral products; petroleum & coal products; chemical & pharmaceutical products; furniture & related products; food, beverage & tobacco products; cement; textile, apparel, leather & footwear; electrical equipment; fabricated metal products; transportation equipment; printing & related support activities; primary metal; and plastics & rubber products.

 

The paper products sub-sector remained unchanged, while only the appliances & components sub-sector recorded growth in inventories (Table 6).



Related News

1.       July 2016 PMI is Slightly Above Water

2.      PMI Reading No 40 Shows a Modest Improvement from 50.2 in June to 51.0

3.      PMI reading no 39 records a modest uptick to 50.2

4.      Manufacturing PMI Rises to 45.8% in May from 43.7% in April 2016 - CBN

5.      May 2016 PMI; Still in negative territory

6.      PMI reading no 38 is well below the water

7.      Nigeria Records Negative Trade Balance in Q1'16 Due to Falling Exports

8.     Nigeria's GDP Declines to -0.36% Negative Growth Rate in Q1'16 from 2.11% in Q4'15

9.      Manufacturing PMI Drops to 43.7% in April 2016 - CBN

10.  PMI reading no 37 slumps from 54.4 to 46.5; a dire result

11.   March 2016 PMI: Manufacturing PMI Improves Marginally to 45.9% - CBN

12.  CBN’s Nigeria PMI – Third Consecutive Month of Decline

13.  PMI reading no 36: a welcome recovery

14.  PMI February 2016; Higher stocks, higher output

15.   PMI reading no 35 is just above neutral

16.  January 2016 Purchasing Managers’ Index is worst reading to date, fx the culprit

17.   Purchasing Managers’ Index reading no 34 is below water, fx to blame

18.  PMI reading no 33: healthy and flattish – Jan 04, 2016

19.  December 2015 PMI is well above water for now – Jan 04, 2016

20. November 2015; Comfortably above water – Dec 01, 2015

21.  PMI reading no 32: Still above water – Dec 01, 2015

22. PMI reading no 31: a modest pick-up – Nov 02, 2015

23. PMI reading no 30: Just above the water – Oct 02, 2015

Related News
SCROLL TO TOP