Measuring the economy is one of Statistics SA's core activities. Each month, surveys of the various economic sectors are conducted, and their results incorporated into the quarterly and annual estimations of growth in gross domestic product (GDP).
The results of Stats SA's monthly manufacturing production and sales survey are used to calculate indices of the physical volume of manufacturing production.
These indices provide an indicator of the real level of manufacturing activity in the economy, and provide important inputs to estimation of GDP.
In the most recent GDP estimates, which were for the second quarter of this year, the manufacturing sector made up over 16 percent of the total economy.
Other sales data released each month, for retail, wholesale and motor sales, also have an important influence on GDP.
Last week Stats SA reported that retail trade sales at constant (2000) prices for May to July had increased by 4.9 percent compared with May to July 2004; motor trade sales for the three months to July increased by 14.7 percent compared with the three months to July 2004; and wholesale trade sales at constant prices for the three months to July increased by 1.1 percent compared with the three months to July 2004.
Yesterday the latest data on manufacturing were published. Production for the three months to August increased by 1.2 percent after seasonal adjustment, compared with the previous three months.
· The motor vehicles, parts and accessories and other transport equipment division contributed 0.
· Petroleum, chemical products, rubber and plastic products (0.
· Furniture and other manufacturing (0.
· Wood and wood products, paper, publishing and printing (0.
· Food and beverages (0.
· Radio, television and communication apparatus and professional equipment (0.
· Glass and non-metallic mineral products (0.1 percentage points).
However, production decreases were reported in the basic iron and steel, non-ferrous metal products, metal products and machinery division (1.2 percentage points) and the textiles, clothing, leather and footwear division (0.2 percentage points).
In terms of sales, the estimated total value of manufactured products at current prices for the three months to August increased by 3 percent, or R6.285 billion, compared with the previous three months.
Higher manufacturing sales were reported by eight of the 10 manufacturing divisions during this period.
· Radio, television and communication apparatus and professional equipment (15.
· Motor vehicles, parts and accessories and other transport equipment (11.
· Furniture and other manufacturing (5.
· Petroleum, chemical products, rubber and plastic products (4.
· Wood and wood products, paper, publishing and printing (2.
· Food and beverages (1.1 percent).
The surveys undertaken for measurement are based on Stats SA's new business register, which is based on units registered for VAT and income tax.
The manufacturing data published yesterday are the last statistical release based on the sample drawn from the new business register last year.
Data for September will be based on a new sample of manufacturing enterprises, which was drawn in August and will take account of the latest developments in South Africa's manufacturing sector.