Turkey’s Purchasing Managers’ Index (PMI), a survey of manufacturing sector managers on productivity, stood at 46.8 in April, marking the 13th consecutive month with a score that points to a downward trend for the manufacturing industry, the Diken news website reported.
Carried out on behalf of the İstanbul Chamber of Industry by the London-based IHS Markit Ltd, the polling data revealed a series of difficulties Turkish manufacturers face.
Yet, the negativity has been relatively more moderate in the last few months compared to the average of the downward trend since its inception.
The survey indicated that a slowdown in new orders led to a sustained loss of momentum in manufacturing and purchasing activities while noting the relative stability of employment figures as a positive development.
Another finding was a significant surge in input costs, which the report interpreted as a result of the Turkish lira’s weakening against the US dollar. Consequently, inflation in end products has reached its highest level in the last six months.
The survey also revealed that Turkish companies have been reducing stocks as a result of a drop in demand.
The PMI is a monthly survey based on questionnaires conducted with purchasing managers of companies from all manufacturing sectors with the aim of presenting an outlook of a country’s performance in productivity.
Any score below the threshold of stability of 50 is indicative of declining performance, while points above 50 are considered signs of improvement.
Source: Turkish Minute