Zimbabwe’s Manufacturing Index shows significant year-on-year growth in fourth quarter of 2023

ZimStats says the manufacturing index for the 2023 fourth quarter registered a 12,26 year on year percentage increase to 143,15 when compared compared to 127,51 recorded in the prior year.

Volume of the manufacturing index (VMI) is an economic indicator that shows relative changes in the volume of output in the manufacturing sector over time, in relation to a given reference period.

The index compilation is in line with the United Nations’ International Recommendations for the Index of Industrial Production (IRIIP), 2010.

In a presentation of the 2023 fourth quarter VMI on Friday, ZimStat manager industrial statistics Mr Kuda Chiguma said construction of the VMI is based on primary data collected through a survey and a sample of 81 large companies was used.

“The Volume of Manufacturing Index (VMI) for the fourth quarter of 2023 was 143,15, reflecting a year-on-year percentage increase of 12,26 when compared to 127,51 recorded in the fourth quarter of 2022.

“Quarter-on-quarter analysis reflects a 4,81 percent increase from 136,58 recorded in the third quarter of 2023,” he said.

“The output index for food stuffs for fourth quarter 2023 was 132,47, reflecting a 7,86 percent increase in production when compared to 122,82 recorded in the fourth quarter of 2022. The index increased by 1,57 percent from 130,42 in the third quarter of 2023.”

Mr Chiguma added that the drinks, beverages and tobacco production index for the fourth quarter of 2023 was 188,58.

The year-on-year index increased by 32,15 percent from 142,71 recorded in fourth quarter 2022 and a quarter-on-quarter analysis reflects an increase of 16,78 percent from 161,48 in the third quarter of 2023.

Other indices for manufacturing sub-sectors include the textiles sub-sector which recorded an output index of 62,13 in fourth quarter of 2023 compared to 97,76 in fourth quarter 2022, resulting in a year-on-year percentage decrease in the index of 36,44.

The quarter-on-quarter comparison shows a 34,31 percentage decrease from 94,58 in the third quarter of 2023.

Mr Chiguma said in the period under review output index for clothing and footwear sub-sector was 119,08, translating to a year-on-year percentage increase of 12,08 from 106,24 recorded in the fourth quarter of 2022.

He said the index for third quarter 2023 was 140,38 reflecting a quarter-on-quarter percentage decrease of 15,17.

“The output index for the paper, printing and packaging sub-sector was 212,25, up from 167,85 in the fourth quarter of 2022, resulting in a year-on year increase in the index of 26,45 percent. Quarter-on-quarter analysis shows a decline of 24,49 percent from 281,10 recorded in third quarter 2023.

“The fourth quarter of 2023 output index for chemicals and petroleum products was 84,33, resulting in a year-on-year percentage decrease of 23,82 when compared to 110,69 recorded in the fourth quarter 2022. The fourth quarter 2023 index increased by 8,62 percent from 77,64 recorded in the third quarter 2023,” he said.

Non-metallic mineral products were 155,60 for fourth quarter 2023, depicting a 31,13 percent year-on-year increase from 118,66 recorded in fourth quarter 2022.-chronicle