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3.2% fall in manufacturing industry production in December

The modern sector showed a 1% monthly decrease in production for December and an annual increase of 36.5%
The modern sector showed a 1% monthly decrease in production for December and an annual increase of 36.5%

Manufacturing industry production fell by 3.2% in December, when compared with the previous month.

Latest data from the Central Statistics Office shows that, on an annual basis, year-on-year production for December 2015 was 20.4% higher than December 2014.

The seasonally adjusted volume of industrial production for manufacturing industries for the three months October 2015 to December 2015 was 0.4% higher than in the preceding three-month period.

The modern sector showed a 1% monthly decrease in production for December and an annual increase of 36.5%.

The volatility of the production and turnover indices for the modern sector reflects the changes from month to month in production patterns, product mix, sales, pricing and stock building or reduction.

This sector includes chemicals and pharmaceuticals; computer, electronic, optical and electrical equipment; reproduction of recorded media; and medical and dental instruments and supplies.

Meanwhile, the CSO data also shows there was a monthly decrease of 7.1% in the traditional sector for December and an annual decrease of 3.5%.

There was a decrease of 5% in the seasonally adjusted industrial turnover index for Manufacturing Industries in December 2015 when compared with November 2015, while annually turnover increased by 13.3%.

Commenting on the figures Alan McQuaid from Merrion Economics said: "The latest industrial output figures released this morning were in the main positive."

He added: "Although there remain concerns about the underlying health of the global economy, particularly China, we think overall growth will hold up this year, particularly in the US and UK, which is good news for Ireland.

"Furthermore, only a very small amount of total Irish exports go to China, and the Irish PMI data remain positive. Indeed, the manufacturing PMI hit a six-month high in January."