Growth rate of industrial output slackened in January-April

According to the index per working day of Statistics Finland, industrial output grew by 0.9 per cent in the year to April. In the January-April period output increased by a mere 0.5 per cent on the figure for the corresponding period in 1995. The slowdown in the growth rate is attributable partly to the comparison period's high index point figures. During the first four months of 1995 industrial output and output in the metal industry in particular, increased at peak rates. The growth for the January-April period was decelerated by the prolonged stoppages in the paper industry.

Output in the metal industry increased by a good 3 per cent in April, as against the just over 7 per cent still in March. Growth was still most rapid in the manufacture of electrical products, i.e. 8.5 per cent. The manufacture of metal products grew by close on 7 per cent from April 1995.

In the wood and paper industry, instead, output was a good 7 per cent lower than in April 1995. Output fell by a full 9 per cent on the year before in March. The manufacture of pulp, paper and paper products decreased by nearly 10 per cent in April, as did the output of the mechanical wood industry, by 0.5 per cent.

The rate of growth in the output of investment goods also slowed down, increasing merely by just under 2 per cent in April. Output in other manufacturing, which mainly describes industrial output on the domestic markets, took an upward turn, showing a rise of 1.5 per cent. This was also reflected in the output of consumer goods, which increased by a good 2 per cent on the April of 1995.

Utilisation rates were still considerably lower than those of the year before. Of the capacity in manufacturing close on 83 per cent was utilised in April, almost 5 percentage points less than the year before. In the metal industry, the utilisation rate was about 86 per cent, which is 6 percentage points down on the previous year. In the wood and paper industry, the utilisation rate remained at just under 86 per cent, almost 10 percentage points less than the year before. In other manufacturing, mainly in output on the domestic markets, the capacity utilisation rate stayed at 78 per cent, which is slightly up on a year earlier.

Source: Volume Index of Industrial Output, April 1996
Further information: Mr. Kari Rautio, tel. +358 0 1734 2479