• 1.1% monthly decrease in General IPI.
• 0.6% monthly decrease in IPI of Mining sector.
• 2.6% monthly decrease recorded in IPI of manufacturing sector.
Planning and Statistics Authority, has issued a press release for September 2019 of industrial production index to study and analyze the economic level of the state. This index details the growth of various industrial sectors in economy such as “Mining”, “Manufacturing”, “Electricity production”, and “Water production and desalination”. It is a short-term quantitative index that measures the changes in the volume of productions of a selected basket of industrial products over a given period with respect to that in a chosen period called the base period.
The Industrial Production Index consists of three main components: "Mining" with a relative importance of 83.6%, "Manufacturing" with a relative importance of 15.2%, "Electricity" with a relative importance of 0.7%, and finally "Water" with a relative importance of 0.5%.
The Industrial Production index (IPI), September 2019 amounted to 108.4 points, decreased by 1.1% compared to the previous month (August 2019), and increased by 1.1%, when compared to the corresponding month of 2018. Graph (1) illustrates the time series of the IPI and monthly rates of change since September of 2018 until September of 2019. and table (1) shows the monthly and annual comparison of the Industrial Production Index September, 2019.
The analysis of the monthly IPI of the above activities as follows:
1. “Mining”: The index of this sector showed a decrease by 0.6% compared to the previous month (August 2019), as a result of the decrease in the quantities of "crude oil and natural gas" by 0.6% , while "Other mining and quarrying" showed an increase by 2.0%. When compared to the corresponding month of the previous year (September 2018), the IPI of Mining increased by 1.1%. Graphs (2) explains the trends of monthly change in the mining sector during September, 2018 until September, 2019.
2. “Manufacturing”: The index of this sector showed a decrease by 2.6% compared to the previous month (August 2019), The groups showed decreases include: "Manufacture of chemicals and chemical products" by 4.3%, followed by “Manufacture of rubber and plastics products” by 1.5%, and “Manufacture of refined petroleum products” by 0.7%. However an increase was recorded in four groups: "Manufacture of food products” by 2.3%, "Manufacture of beverages" by 2.2%, “Manufacture of Cement and other non-metallic mineral products” by 2.1%, and "Manufacture of basic metals” by 1.9%. No change noticed in “Printing and reproduction of recorded media”. Graph (3) shows the trend of IPI of manufacturing sector during September of 2018 until September of 2019.
On the other hand, in terms of annual change, comparing to September 2018, an increase of 1.7% was recorded, affected by the following groups: “Manufacture of basic metals” by 22.8%, “Manufacture of rubber and plastics products” by 1.9%, and "Printing and reproduction of recorded media” by 0.7%. However a decrease recorded in “Manufacture of Cement & other non-metallic mineral products" by 1.3%, "Manufacture of beverages" by 1.0%, “Manufacture of chemicals and chemical products” by 0.9%, “Manufacture of food products” by 0.8%, and “Manufacture of refined petroleum products” by 0.5%.
3. “Electricity”: A decrease of 7.0% was noticed in the production of “Electricity” between September 2019 and the previous month (August 2019), while the annual decrease when comparing with September 2018, was 8.6%.
4. “Water”: A decrease of 2.7% was noticed in the production of ''Water'' between September 2019 and the previous month (August 2019). Comparing with corresponding month (September 2018), a decrease of 0.9% was recorded.
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