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Manufacturing continues strong start to year

Manufacturing report - Output jumps, but costs rising
Manufacturing report - Output jumps, but costs rising

A report on the manufacturing shows that activity in the sector grew strongly last month.

The NCB Purchasing Managers' Index recorded 56.7, up from 55.8 in January and the fifth rise in a row. It was also the best figure since 2000. Any figure above 50 means activity grew.

Manufacturing output increased at the third-fastest rate in the history of the survey, while levels of new business rose at the fastest pace in more than 11 years, recording 59.2. New export orders rose to 61.6, with EU and Asia the main sources of growth.

Employment growth hit 53.4, the highest level for four and a half years, but cost inflation accelerated to 71.9, the highest since July 2008. Companies passed on these costs to customers, with the prices charged index rising to a four-year high of 56.9.