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Cement leads in PMI expansion to 57.4 index points in March

Cement giants shed N16.7bn in revenue as weak economy takes toll

Cement led other manufacturing sub-sectors as the Purchasing Managers Index (PMI) expanded for 24th consecutive months to 57.4 points in March from 57.1 in the preceding month.

The Central Bank of Nigeria (CBN) on Wednesday released the March 2019 PMI survey, which was conducted by its statistics department during the period March 11-15, 2019.

The report showed that cement sub-sector expanded to 64.2 point in the period under review from 54.2 in February 2019.

This was followed by Food, beverage and tobacco products, which grew from 58.7 points in February to 61.7 points in March.

According to the report, production level, supplier delivery time, employment level and inventories grew at a faster rate while new orders grew at a slower rate in March 2019.

Of the 14 subsectors surveyed 11 reported growth in the review month. These include cement; food, beverage and tobacco products; fabricated metal products; furniture and related products; paper products; chemical and pharmaceutical products; plastics and rubber products; electrical equipment; printing and related support activities; transportation equipment and non-metallic mineral products. The Textile, apparel, leather and footwear; Petroleum and coal products and primary metal subsectors recorded decline in the review period.

At 58.3 points, the production level index for the manufacturing sector grew for the 25th consecutive month in March 2019. The index indicated a faster growth in the current month, when compared to its level of 57.5 points in the month of February 2019.

The new orders index grew for the 24th consecutive month to 56.7 in March points from 56.9 point in the previous month indicating increase in new orders in March 2019.

The Manufacturing sector inventories index grew for the 24th consecutive month in March 2019. At 57.1 points, the index grew at a faster rate when compared to its level of 56.2 points in February 2019.

The comosite PMI for the non-manufacturing sector stood at 58.5 points in March 2019, indicating expansion in the Non-manufacturing PMI for the twenty-third consecutive month. The index grew at a faster rate when compared to that 58.4 points in February 2019.

Of the 17 surveyed in the non-manufacturing, subsectors 14 recorded growth in the review period, as seen the CBN’s report.

However, at 57.8 points, the business activity index grew for the 24th consecutive month at a slower rate, indicating contraction in non-manufacturing business activity in March 2019.

 

HOPE MOSES-ASHIKE