The decrease in industrial production continued in July
According to Statistics Estonia, in July 2009 compared to July of the previous year, the production of industrial enterprises decreased 28%. The decline in industrial production that had started at the end of the previous year continued in July.
The decrease in production was 26% in January 2009, but since February the decrease in production has been within the limits of 30% compared to the same month of the previous year.
In July, the situation in manufacturing was more or less the same as in previous months — the production fell steadily about one third compared to the same month of the previous year. The main reason causing the decline was insufficient demand both in domestic and external markets.
The production decreased in all branches of manufacturing except the manufacture of beverages, where the production of distilled spirits and beer rose, and the manufacture of pharmaceutical products. Compared to July of the previous year, the manufacture of chemical products, metals and machinery and equipment fell more than a half. The production of most basic chemicals was stopped related to the price decrease in the world market. The manufacture of building materials, electronic products, repair and installation of machinery and equipment decreased more than 40%. 70% less prefabricated structural components for house building and civil engineering and 40% less concrete mix were produced in July compared to the same month of the previous year.
In July compared to July of the previous year, the production of electricity decreased 16%, the production of heat decreased 8%.
In July compared to June, industrial production rose 2% according to the seasonally adjusted data. The growth in the production of manufacturing helped to exceed the level of the previous month, whereas the production of electricity and mining decreased compared to the previous month. From January to April, the decrease in industrial production remained within 4% compared to the previous month, in May the production increased 2%, in June decreased 1% again.
The volume index and trend of production in manufacturing, January 2000 – July 2009
(2005 = 100)
| Economic activity | Change 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 | 1.8 | -27.8 | -27.8 |
| Energy production | -15.6 | -14.1 | -14.1 |
| Mining | -7.4 | -5.8 | -5.8 |
| Manufacturing | 2.9 | -30.0 | -30.0 |
| manufacture of food products | -1.1 | -8.5 | -8.7 |
| manufacture of wood and wood products | 2.1 | -23.7 | -23.7 |
| manufacture of fabricated metal products | 16.6 | -38.0 | -38.0 |
| manufacture of computer, electronic and optical products | -15.3 | -48.5 | -49.2 |
| manufacture of electrical equipment | 1.8 | -28.6 | -28.6 |
| manufacture of chemicals and chemical products | 4.2 | -51.0 | -51.0 |
| manufacture of furniture | 32.2 | -27.6 | -27.6 |
| repair and installation of machinery and equipment | -20.2 | -44.1 | -44.1 |
| manufacture of building materials | 2.2 | -43.4 | -43.4 |
| manufacture of textiles | 52.1 | -2.7 | -2.8 |
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 month.
b In 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 month of the previous year.