Steel production and food industry in decline

, News

Industrial production in September compared to the same month last year decreased by 0.3 percent, so the total year-on-year growth in the first nine months was reduced to 1.9 percent, according to Macroeconomic Analysis and Trends.

Mining continued to grow in September, but growth rates fell from 33.6 percent in the January-July period to 3.8 percent in August and 1.3 percent in September.

Mining growth was led by metal ore production with an annual growth of 18.8 percent, but oil and gas exploitation decreased by 3.4 percent and coal by 15 percent compared to last September.

Good news comes from the electricity industry, which, after an interannual decline in every month since the middle of 2021, in September remained at the same level as last year.

The most important branch of industry, the processing industry, decreased by 0.6 percent year-on-year in September, so the growth in the first nine months of this year compared to the same period last year was reduced to 2.7 percent. For the sake of comparison, in the first five months, year-on-year growth was 4.8 percent.

“In September, the manufacturing industry had a year-on-year decrease in production, although an increase was recorded in fourteen areas, and a decrease in only ten areas.” It is about the fact that in some of them the participation in the total processing industry is high (the production share of those ten areas in the processing industry is 52 percent), and the drop in September is extremely large: food, tobacco, pharmaceutical industry, production of non-metallic minerals, furniture production , as well as the production of base metals with a record drop of 37 percent”, the MAT analysis states.

The two areas that most affected the decline of the industry are the food industry and the production of basic metals.

In September, the food industry recorded an annual drop of nine percent, which is the biggest drop since the corona virus and April 2020, so the growth since the beginning of this year is only 0.8 percent.

The production of basic metals in September was reduced by as much as 37 percent compared to September 2021, and iron and steel, whose production was reduced by 24 percent, contributed the most to this.

After good growth at the beginning of the year, a steep decline began in May, and in nine months the year-on-year decline reached 12 percent, Danas reports.

error: Content is protected !!