Industrial production up on monthly basis in May

Industrial production up on monthly basis in May

Industrial production up on monthly basis in May

Turkey’s seasonally and calendar-adjusted industrial production index increased by 1.3 percent in May from April, the Turkish Statistical Institute (TÜİK) said on July 12.

In April, the key industry sector’s output declined by 0.9 percent on a monthly basis.

The seasonally and calendar-adjusted data showed that manufacturing production increased 1 percent that compared favorably with the 0.8 percent decline recorded in the previous month.

Intermediate goods production increased 0.4 percent on a monthly basis while durable consumer goods output fell 0.5 percent in May, easing from the deeper decline of 3.3 percent in April.

Energy and capital goods production registered 2 percent and 6.5 percent increases, respectively.

TÜİK data also revealed that the calendar-adjusted industrial production index in May fell by 1.3 percent compared to the same month of last year.

The term “calendar-adjusted” is used to refer to data without calendar and holiday-originating effects.

“When the sub-sectors of the industry were examined and while mining and quarrying index decreased by 2.5 percent and manufacturing index was down 1.8 percent, electricity, gas, steam and air conditioning supply index increased by 4.1 percent,” the institute said.

Manufacturing output dropped 1.8 percent on an annual basis, while the production decline in the intermediate goods industry was 6.7 percent year-on-year.

The durable consumer goods sector saw a 2.1 percent fall in its production in May that followed the 0.5 percent rise in April.

Capital goods output, which sank 7.6 percent on an annual basis in April, increased by 3.4 percent on an annual basis in May.

In its 11th development plan, which covers 2019-2023, the government said the country’s industry sector will play a central role in economic growth.

The plan, which was submitted to parliament on July 8, predicts that the industry sector will expand at a rate of 5.7 percent on average and the sector’s share in the country’s GDP will climb to 24.2 percent in five years’ time.

The plan foresees that the country’s gross domestic product will increase to $1.08 trillion in 2023 while the per capital income target is $12,484.

The government predicts annual real economic growth at 4.3 percent on average between 2019 and 2023.