Decrease in industry in March

news release no 50

According to Statistics Estonia, the industrial production in March 2008 decreased compared to February as well as compared to March of the previous year.

In March 2008, the seasonally adjusted industrial production of Estonia fell 5% compared to February.

In comparison with March of the previous year, the industrial production decreased 5%, in manufacturing 3%. The decrease in manufacturing was mainly influenced by the decrease in the production of food, wood and building materials. The manufacturing of food is continually affected by price increase. In March the prices rose about 20% compared to March of the previous year, in the manufacturing of milk products the increase was about 40%. The decrease in the production of beverages was also affected by the raise of excise taxes which significantly decreased the sale of strong alcoholic beverages. Compared to March of the previous year, the production of building materials fell 20% in connection with a slowdown in construction activities. The downward trend continued in the manufacturing of wood, the production of furniture also decreased.

Compared to March of the previous year, there was a growth in the production of metal products, chemicals and electrical machinery, mainly due to the increase in exports. The share of exports in the manufacturing of chemicals and electrical machinery was over 85%. The share of exports in the total manufacturing has been growing continuously and exceeded 60%.

In March 2008, compared to March of the previous year, the production of electricity decreased 24%, the production of heat increased 6%. The decrease in electricity production was caused by the fall in exports and partly replacement of own production with imports. In March about 30% of electricity was imported, in February the imports accounted only for slightly over 1% of consumption.

The trend of volume index of production in manufacturing, January 1998 – March 2008
(2000 = 100)


Change in volume index of industrial production, March 2008
(percentage)

Economic activityChange compared to
previous month
according to
seasonally adjusted
dataa
Change compared to corresponding
month of previous year
according to
unadjusted data
according to
working-day
adjusted datab
TOTAL-5.3-10.7-4.9
Energy production-7.5-13.9-13.9
Mining-5.2-11.50.8
Manufacturing-4.6-10.1-3.2
manufacture of food products and beverages-1.7-8.3-6.6
manufacture of wood and wood products-12.8-25.9-17.8
manufacture of fabricated metal products-1.55.29.1
manufacture of electrical machinery-0.7-0.911.5
manufacture of building materials-3.2-27.9-19.5
manufacture of chemicals and chemical products-9.09.412.2
manufacture of furniture; manufacturing not
elsewhere classified
-5.8-19.5-12.0
manufacture of radio, television and communication
equipment and apparatus
-24.8-6.5-6.5
manufacture of textiles-24.3-19.5-16.7

a In case of the seasonally adjusted volume index, the impact of the differing numbers of working days in a month and seasonally recurring factors has been eliminated. It is calculated only in comparison with the previous period.
b In the case of the working-day adjusted volume index, the impact of the differing number of working days in a month has been eliminated. It is calculated only in comparison with the corresponding period of the previous year.

For further information:

Lilian Bõkova
Leading StatisticianIndustry, Construction and Energy Statistics Service
Statistics Estonia
Tel +372 625 9228

More detailed data have been published in the Statistical Database.