ISLAMABAD: The large-scale manufacturing (LSM) sector grew 1.83 per cent during September, according to the latest data released by the Pakistan Bureau of Statistics.

The growth in LSM came on the back of 12.59pc increase in production of pharmaceuticals, non-metallic mineral products 10.57pc, rubber 7.91pc, paper and board 6.39pc, leather products 3.86pc, food and beverages 3.82pc, automobiles 1.13pc, and engineering products 1.9pc.

Manufacturing sector’s performance in the first quarter of ongoing fiscal year remained lacklustre as the sector shrank 3.33pc year-on-year in August while posting a meagre growth of 0.5pc in July. The decline in the manufacturing sector has prompted fears of reversal in the decade-high GDP growth witnessed during the last fiscal year.

On the other hand, sectors registering a decline included wood products down by 53.38pc, electronics down 14.03pc, petroleum products 6.19pc, chemicals 2.77pc, iron and steel products 0.83pc and textile 0.53pc.

Cumulatively, production in food, beverages and tobacco, coke and petroleum products, pharmaceuticals, non-metallic mineral products and fertilisers saw a significant decline during the first quarter of the current fiscal year with electronics and paper and board production posting a major increase during the period under review.

Source-wise, production data of 36 items received from the Ministry of Industries and Production registered an increase of 2.44pc, whereas 11 items from Oil Companies Advisory Committee and 65 items reported by the provincial bureaus of statistics declined by 0.44pc and 0.17pc respectively.

Pharmaceutical production — up 12.59pc YoY during September — including syrups, tablets, capsules and injections went up by 17.71pc, 12.18pc, 5.72pc and 4.49pc, respectively. In addition to that, in the non-metallic mineral products — cement posted a double digit growth of 10.7pc.

On a YoY basis – barring jeeps and cars and tractors – almost all vehicles in the auto sector posted decline in growth during September. Tractor production went down by 5.58pc, light commercial vehicles 19.26pc, trucks 27.76pc and buses shrank by 21.28pc during the period under review.

Increase in the chemical sector was mainly driven by an uptick in the production of paints and varnishes by 0.49pc; whereas caustic soda production went up by 17.97pc.

Published in Dawn, November 24th, 2018