Blooming good – PMI 13 Oct 2016 57.7September+2.5Monthly Changeexpandingfaster rate Catherine Beard Executive Director, ExportNZ & ManufacturingNZ View profile Activity in New Zealand's manufacturing sector picked up in September, according to the latest BNZ - BusinessNZ Performance of Manufacturing Index (PMI).The seasonally adjusted PMI for September was 57.7 (a PMI reading above 50.0 indicates that manufacturing is generally expanding; below 50.0 that it is declining). This was 2.5 points up from August, and the highest level of activity in the sector since January this year. The sector remains solidly in expansion in almost all months since October 2012.BusinessNZ's executive director for manufacturing Catherine Beard said that the lift in expansion levels was welcome after two consecutive months of softening expansion."The two key sub-indices of production (61.3) and new orders (60.9) returned to post-60 point values, while employment (50.3) moved back into slight expansion mode after showing contraction in August". "The overall improvement in expansion levels was mirrored by the proportion of positive comments increasing to 63.8% in September, compared with 58.4% for August. A number of positive comments again centered on preparation for the summer/Xmas season, while international orders continued to hold up relatively well".BNZ Senior Economist, Craig Ebert, said that "while the PMI kicked back up, the details of the survey again highlighted some fraying at the edges. This was not so noticeable by region anymore, but large firms (45.0) were more clearly lagging the impetus that relatively smaller firms maintained in September".View the Time Series Data Main Indicies Regional Results Craig Ebert Senior Economist, BNZ The PMIPeak, what peak? New Zealand's Performance of Manufacturing Index (PMI) kicked back up to a seasonally adjusted 57.7 in September, having slowed to 55.2 in August.Read more Domestic DemandThe export-flavoured Food and Beverage component of the PMI stayed strong in September, at 66.2. However, the NZ PMI, broadly speaking, doesn't have a breakdown of domestically-focussed versus export activity amongst manufacturers. But the NZIER Quarterly Survey of Business Opinion (QSBO) does.Read more EmploymentIt was also encouraging to see a bounce-back in the jobs index of the PMI. Recall that it slumped to a seasonally adjusted reading of 47.7 in August, from 54.4 in July.Read more Capacity UtilisationRobust demand for staff in the manufacturing industry gels with the signals from the QSBO that it's getting more difficult to find them – whether skilled or unskilled.Read more . View full BNZ Manufacturing Snapshot PMI Time Series TableThe results are seasonally adjusted. National Indicies Sep2015May2015 Jun2016Jul2016 Aug2016 Sep2016 BNZ - BusinessNZ PMI 54.557.157.655.655.257.7 Production56.261.060.558.156.061.3 Employment 51.753.353.554.147.150.3 New Orders56.860.061.458.259.360.9 Finished Stocks51.649.950.549.551.654.5 Deliveries54.455.456.355.456.257.8 View the Time Series Data BNZ - BusinessNZ PMI Time Series July 2016 – September 2016 International ResultsJ.P. Morgan Global Manufacturing PMITM 3 Oct 201651.0 In this section Surveys & Statistics Performance of Manufacturing Index Performance of Services Index Compliance Cost Survey Exporters Survey Southern Cross Health Society - BusinessNZ Wellness in the Workplace Survey Reports & Publications BusinessNZ Planning Forecast International Guides & Tools BNZ - BusinessNZ PMI Time Series Data View seasonally adjusted and unadjusted time series data for the BNZ - BusinessNZ PMI BNZ is delighted to be associated with the Performance of Manufacturing Index (PMI) and BusinessNZ.This association brings together the significant experience of leading business advocacy body BusinessNZ, and business finance specialist BNZ.We look forward to continuing our association with BusinessNZ and associated regional organisations, and to playing our part in the ongoing development of the New Zealand manufacturing sector. View website Media Comment For media comment, please contact: Catherine Beard, ExportNZ & ManufacturingNZ 04 496 6560 Craig Ebert, BNZ 04 474 6799 Technical Comment For more information or assistance with data interpretation, please contact: Steve Summers 04 496 6564 ssummers@businessnz.org.nz Our Contributors The BNZ - BusinessNZ PMI contains data obtained through BusinessNZ's regional organisations About the PMI The BNZ - BusinessNZ Performance of Manufacturing Index is a monthly survey of the manufacturing sector providing an early indicator of activity levels.A PMI reading above 50 points indicates manufacturing activity is expanding; below 50 indicates it is contracting.The main PMI and sub-index results are seasonally adjusted. Related Articles Blooming good – PMI Steady state – PMI Now hiring – PMI Stretching out – PMI Pumping production – PMI View more