Large-scale manufacturing drops 7.75pc in October, led by textile and automobiles

[WarKa DaNG]

It is too depressing to watch the news lately

 

[Crimson Blue]

And gifts do not stop. Another present from Pakistani army to its Awam, in return of financing the army .......

 

[Crimson Blue]

https://twitter.com/x/status/1603774460603023364

 

[epebble]

Dire straits​

Dire straits

Global economic conditions are not particularly healthy either, putting pressure on people’s pockets.

www.dawn.com

 

[ghazi52]

.,.,

As Pakistan reels from dollar shortage, customers lured towards 'grey' market premiums​

• Inter-bank and open-market rates have only become wider in recent days

,..,

Indus Motors shuts down production plant in Pakistan on delay in import approvals​

"Delay in the approvals for the company and vendors has created hurdles in the import and clearance of consignments for raw materials," company says.

 

[epebble]

• After greenbacks, euros and pounds have also ‘disappeared’ from market
• Silence of friendly countries, IMF impasse driving market sentiment down

SITUATIONER: In dollars we trust, all others take a back seat

After greenbacks, euros and pounds have also ‘disappeared’ from market.

www.dawn.com

Shares plunge 444 points in early trade

The benchmark index reached 40,526.20 points at 10:40am, down 1.09 per cent.

www.dawn.com

 

[AZADPAKISTAN2009]

Congrats to Banana Republic of Janrail and Plot sellers

 

[N.Siddiqui]

Where is the Establishment consisting of prominent businessmen, senior judiciary, qualified bureaucrats and top ranked think tanks, supposed to be part of the Establishment.

Looks as though only thickheaded, Zero mental faculties Gernails and Kernails are controlling the Establishment.

And they are calling the shots and others are sidelined and coerced into inaction.

 

[epebble]

Where is the Establishment consisting of prominent businessmen, senior judiciary, qualified bureaucrats and top ranked think tanks, supposed to be part of the Establishment.

Looks as though only thickheaded, Zero mental faculties Gernails and Kernails are controlling the Establishment.

And they are calling the shots and others are sidelined and coerced into inaction.

Yes, in these times of great distress, I see a lot of macroeconomic illiteracy among the leadership. I don't think there is any well-trained economist in a position of power. Somehow the central bank governor is totally silent in the midst of raging fire.

 

[Clutch]

.,,.

Large-scale manufacturing drops 7.75pc in October, led by textile and automobiles​

Tahir Sherani
December 15, 2022

Large-scale manufacturing (LSM) declined by 7.75 per cent year-on-year in October, with the textile, machinery and equipment, and automobiles sectors shrinking, data shared by the Pakistan Bureau of Statistics (PBS) showed on Thursday.

The LSM had swung to growth in September, posting an annual increase of 0.1pc compared to August, official data showed. That was quite an improvement from July when the LSM shrank 1.4pc year-on-year.

However, economists had raised concerns about an economic slowdown caused by record energy and raw material prices.

Commenting on the latest figures, former finance ministry adviser Dr Khaqan Najeeb said, “Facing a balance of payments challenge, the authorities have taken a number of measures to slow down the economy. These include tightening of monetary policy as well as administrative measures to curtail imports. These measures coupled with challenges of floods, energy shortfalls and a slowing global economy have resulted in contraction of the LSM output.”

The economic slowdown, however necessary to stabilise the economy, has been quite pronounced, Najeeb said.
“It is important to ease the severe dollar liquidity crunch by increasing inflows and maintain a realistic exchange rate so that manufacturing is not disincentivised,” he added.

The main contributors to the YoY decline were automobiles (down 30.56pc); textile (24.62pc); machinery and equipment (38.01pc); wood products (81.75pc); computer, electronics and optical products (25.66pc); and pharmaceuticals (18.56pc).

On the other hand, the furniture sector grew 105.41pc, followed by football (65.46pc) and wearing apparel (34.14pc).

PBS data showed that LSM dipped by 3.62pc in October over the preceding month.

Moreover, in the July-October period, LSM shrank 2.89pc compared to the first four months of the previous fiscal year.

“The production in July-October 2022-23 as compared to July-October 2021-22 has increased in wearing apparel and furniture while it decreased in food, tobacco, textile, coke & petroleum products, pharmaceuticals, rubber products, non-metallic mineral products, fabricated metal, electrical equipment, machinery and equipment, automobiles and other transport equipment,” the PBS said.

The slowdown had started in June when manufacturing activity grew only 0.2pc compared to the previous month.
In the previous fiscal year, large-scale manufacturing grew 11.7pc year-on-year.

Large-scale manufacturing drops 7.75pc in October, led by textile and automobiles

Automobiles production down 30.56pc while textile production shrinks 24.62pc over the year-ago period.

www.dawn.com

Excellent news .. perhaps once Pakistan becomes a wasteland like Somalia maybe the Dalit slaves of Pakistan will rise up against corruption for a Naya Pakistan.

 

[epebble]

This:

The SBP avoided providing any range for the growth rate of the current financial year apparently due to the worsening economic situation. Industries have either shut down or drastically cut their production due to high inflation and the unavailability of gas and electricity.

Is just a way of telling they are predicting a contraction but do not know how severe it will be. They do not want to add to mounting bad news that there may be a severe recession or economic depression.

SBP slashes GDP growth forecast to below 3-4pc​

SBP slashes GDP growth forecast to below 3-4pc

Cuts FY23 outlook after considering flood-induced destruction, policy focus on stabilisation.

www.dawn.com

 

[ghazi52]

..,,,

https://twitter.com/x/status/1606125123471380480

 

[Crimson Blue]

 

[Crimson Blue]

Suzuki Motors cannot get parts to assemble the cars & motorcycles so they are shutting down factory in January. Federal Government is blocking LCs so these parts cannot be imported.
Cheers.

 

[Enigma SIG]

Dire straits​

Dire straits

Global economic conditions are not particularly healthy either, putting pressure on people’s pockets.

www.dawn.com

Should be "Dar" Straits