{"id":741713,"date":"2024-01-11T15:06:09","date_gmt":"2024-01-11T13:06:09","guid":{"rendered":"https:\/\/businesstech.co.za\/news\/?p=741713"},"modified":"2024-01-11T15:59:01","modified_gmt":"2024-01-11T13:59:01","slug":"boost-for-manufacturing-in-south-africa","status":"publish","type":"post","link":"https:\/\/businesstech.co.za\/news\/trending\/741713\/boost-for-manufacturing-in-south-africa\/","title":{"rendered":"Boost for manufacturing in South Africa"},"content":{"rendered":"\n<p>A <a rel=\"noreferrer noopener\" href=\"https:\/\/www.statssa.gov.za\/publications\/P30412\/P30412November2023.pdf\" data-type=\"URL\" data-id=\"https:\/\/www.statssa.gov.za\/publications\/P30412\/P30412November2023.pdf\" target=\"_blank\">report<\/a> published by StatsSA has shown that manufacturing production in the country increased by 1.9% in November 2023 compared with November 2022, whilst seasonally adjusted manufacturing sales increased by 2.1% over three months. <\/p>\n\n\n\n<p>With the manufacturing sector in South Africa taking a massive knock due to the Covid-19 pandemic, the country&#8217;s manufacturing output levels is said to be clawing its way back to pre-Covid levels. However, Investec said that despite November\u2019s moderate annual growth, conditions in the manufacturing sector &#8220;remain lackluster&#8221;.<\/p>\n\n\n<div class=\"wp-block-image\">\n<figure class=\"aligncenter size-large\"><a  data-lightbox=\"post-image\" href=\"https:\/\/businesstech.co.za\/news\/wp-content\/uploads\/2024\/01\/image-40.png\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"548\" src=\"https:\/\/businesstech.co.za\/news\/wp-content\/uploads\/2024\/01\/image-40-1024x548.png\" alt=\"\" class=\"wp-image-741723\" srcset=\"https:\/\/businesstech.co.za\/news\/wp-content\/uploads\/2024\/01\/image-40-1024x548.png 1024w, https:\/\/businesstech.co.za\/news\/wp-content\/uploads\/2024\/01\/image-40-300x161.png 300w, https:\/\/businesstech.co.za\/news\/wp-content\/uploads\/2024\/01\/image-40-768x411.png 768w, https:\/\/businesstech.co.za\/news\/wp-content\/uploads\/2024\/01\/image-40.png 1257w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><\/a><figcaption class=\"wp-element-caption\">Volume of manufacturing production. Source: StatsSA<\/figcaption><\/figure><\/div>\n\n\n<p><strong>Manufacturing production<\/strong><\/p>\n\n\n\n<p>Rising 1.9% year-on-year (November 2022 compared to 2023), the largest contributions were made by:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Wood and wood products, paper, publishing and printing&nbsp;(8% and contributing 0.8 of a percentage point);<\/li>\n\n\n\n<li>Motor vehicles, parts and accessories and other transport equipment&nbsp;(5.7% and contributing 0.6 of a percentage point).<\/li>\n<\/ul>\n\n\n\n<p>The largest negative contributions were seen by: <\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Food and beverages (-2.0% and contributing -0.5 of a percentage point);<\/li>\n\n\n\n<li>Basic iron and steel, non-ferrous metal products, metal products and machinery (-1.4% and contributing -0.3 of a percentage point)<\/li>\n<\/ul>\n\n\n\n<figure class=\"wp-block-image size-large\"><a  data-lightbox=\"post-image\" href=\"https:\/\/businesstech.co.za\/news\/wp-content\/uploads\/2024\/01\/image-39.png\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"148\" src=\"https:\/\/businesstech.co.za\/news\/wp-content\/uploads\/2024\/01\/image-39-1024x148.png\" alt=\"\" class=\"wp-image-741717\" srcset=\"https:\/\/businesstech.co.za\/news\/wp-content\/uploads\/2024\/01\/image-39-1024x148.png 1024w, https:\/\/businesstech.co.za\/news\/wp-content\/uploads\/2024\/01\/image-39-300x43.png 300w, https:\/\/businesstech.co.za\/news\/wp-content\/uploads\/2024\/01\/image-39-768x111.png 768w, https:\/\/businesstech.co.za\/news\/wp-content\/uploads\/2024\/01\/image-39.png 1251w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><\/a><figcaption class=\"wp-element-caption\">Source: StatsSA<\/figcaption><\/figure>\n\n\n\n<p><strong>Manufacturing sales<\/strong><\/p>\n\n\n\n<p>Seasonally adjusted manufacturing sales increased by 1,1% in November 2023 compared with October 2023. Overall, seasonally adjusted manufacturing sales had increased by 2,1% over three months ending November 2023. <\/p>\n\n\n\n<p>This was a turnaround of month-on-month changes of -0,5% in October 2023 and -0,1% in September 2023. <\/p>\n\n\n\n<p>The largest manufacturing sales contributions were made by:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Motor vehicles, parts and accessories and other transport equipment&nbsp;(8,6% and contributing 1,4 percentage points);<\/li>\n\n\n\n<li>Petroleum, chemical products, rubber and plastic products&nbsp;(3,2% and contributing 0,7 of a percentage point).&nbsp;<\/li>\n<\/ul>\n\n\n<div class=\"wp-block-image\">\n<figure class=\"aligncenter size-full\"><a  data-lightbox=\"post-image\" href=\"https:\/\/businesstech.co.za\/news\/wp-content\/uploads\/2024\/01\/image-38.png\"><img loading=\"lazy\" decoding=\"async\" width=\"685\" height=\"277\" src=\"https:\/\/businesstech.co.za\/news\/wp-content\/uploads\/2024\/01\/image-38.png\" alt=\"\" class=\"wp-image-741715\" srcset=\"https:\/\/businesstech.co.za\/news\/wp-content\/uploads\/2024\/01\/image-38.png 685w, https:\/\/businesstech.co.za\/news\/wp-content\/uploads\/2024\/01\/image-38-300x121.png 300w\" sizes=\"auto, (max-width: 685px) 100vw, 685px\" \/><\/a><figcaption class=\"wp-element-caption\">Manufacturing sales at current prices (R million). Source: StatsSA<\/figcaption><\/figure><\/div>\n\n\n<p><strong>Analysis<\/strong><\/p>\n\n\n\n<p>According to the ABSA manufacturing survey for Q4.23, the index measuring confidence \u201chas shown little improvement over the past three years and remains far below the long-term average of 37\u201d.\u00a0<\/p>\n\n\n\n<p>Additionally, South Africa\u2019s numerous domestic challenges that include an inconsistent electricity supply and logistical constraints continue to impede optimal activity. &#8220;The intensity of load shedding was ramped up towards the end of November, while congestion at the ports will have weighed of the delivery of significant inputs.&#8221; said Investec. <\/p>\n\n\n\n<p>&#8220;Moreover, the still subdued global manufacturing environment continues to undermine export potential,&#8221; the company added.<\/p>\n\n\n\n<p>Thanda Sithole, FNB Senior Economist, said that &#8220;manufacturing output appears to have achieved marginal growth in 2023, marking a modest rebound from the 0.4% decline in 2022. In the near term, production is expected to remain lackluster, influenced by weak domestic and external demand, along with ongoing infrastructure challenges.&#8221;<\/p>\n\n\n\n<hr class=\"wp-block-separator has-alpha-channel-opacity\"\/>\n\n\n\n<p><strong>Read: <a href=\"https:\/\/businesstech.co.za\/news\/business\/741365\/big-win-for-one-of-south-africas-most-unique-exports\/\">Big win for one of South Africa\u2019s most unique exports<\/a><\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Recent statistics published by StatsSA brings positive news for South Africa&#8217;s manufacturing sector &#8211; however experts say challenges in the country keep its performance &#8220;lackluster&#8221;.<\/p>\n","protected":false},"author":101,"featured_media":741725,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[3387,5769],"class_list":["post-741713","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-trending","tag-manufacturing","tag-statssa"],"_links":{"self":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/741713","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/users\/101"}],"replies":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/comments?post=741713"}],"version-history":[{"count":11,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/741713\/revisions"}],"predecessor-version":[{"id":741801,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/741713\/revisions\/741801"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media\/741725"}],"wp:attachment":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media?parent=741713"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/categories?post=741713"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/tags?post=741713"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}