The SME industry grew almost 1% annually in October and installed capacity reached 72%
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The use of installed capacity of the companies in the sample stood at 72.5%, 0.3 percentage points above September, with the highest levels in Paper and Printing (77.6%) and the lowest in Metal, Machinery, Equipment and Transport Material (70.4%).

“Inflation and the loss of purchasing power of income are felt in the market and many industries expressed concern about the drop in production orders for 2023. In addition, the problems of shortages of some inputs continued in October,” the CAME specified. .

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The results come from the SME Industrial Production Index (IPIP) prepared by that entity, on a sample of 371 SME industries at the federal level.

The best performance in October was in Chemicals and plastics, with an annual increase of 7.1%. The worst occurred in Clothing and textiles (-10.3% annual).

Item by item analysis

  • Food and drinks: production had an annual growth of 0.5% and a fall of 5.5% in the monthly comparison. In the accumulated of the year, it maintains an increase of 2.7% compared to the same months of 2021. For many industries the high sales season begins, but there is fear that, due to price increases, the results will not be as expected.
  • Clothing and textile: the branch recorded a fall of 10.3% annually and 0.5% monthly. In the accumulated January-October there is an increase of 2% compared to the same months of 2021, explained by the good performance in the first quarter of the year. The sector worked in October with 75.6% of its installed capacity. Difficulties continued to obtain certain inputs and companies maintain that production orders have slowed down. A quiet year-end is anticipated.
  • Woods and Furniture: in October sales fell 3% compared to the same month last year, but they increased 5% compared to September. In the January-October series, a drop of 3.8% is marked compared to the same period in 2021. It was manufactured very well in the industries with higher-category furniture, but production orders were very low in the rest of the segments.
  • Metal, machinery, equipment and transport material: manufacturing rose 3.3% annually, 3.3% monthly and has risen 2.5% when comparing the first ten months of 2022 with the same period in 2021. Companies worked with 70.1% of their installed capacity. The sector stands out for its investment dynamism, although the firms comment that production is not increasing as it should due to the lack of inputs that are essential and cannot be obtained in the local market.
  • Chemicals and plastics: Sales rose 7.1% annually in October, although they fell 2.5% in the monthly comparison. For the January-October period, an annual increase of 3.8% was recorded. The industry worked with 71.4% of its facilities. The companies point out that, although production continues to grow, less interest is being noticed. In any case, the firms agree that until December they are covered with the orders already scheduled, although 2023 is worrying.
  • Paper, cardboard, publishing and printing: Production fell 3.9% annually in October and 2.8% monthly. In the accumulated of the year, an annual increase of 3% is still observed. Despite the fall, the sector operated with 77.6% of its installed capacity, a high level in relation to the rest of the industries.

It was one of the items where the lack of inputs was most noticeable, which is added to the more structural problems that this activity has, such as low competitiveness and changes in consumption patterns, which affect branches such as paper mills and plastic bag factories. .

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