Production Growth Shows Promise for Global Textile Industry
Textile and apparel production continues to see a year to year growth. Emerging and developing economies have played their part as the industry enjoyed a 3.7 percent year-on-year rise in the second quarter. Still, though the latest numbers boast a nice rise for 2013, textile output in the quarter was lower than in the first three months of 2013.
Globally, manufacturing saw a 2.2 percent spike in the second quarter of the year, due to a significant 6.3 percent rise in developing countries that was partly offset by the industrialised nations drop of 1.4 percent. On a whole, this was the first sign that, despite the current recession, industrialised nations and emerging industrial economies were on a growth spurt at the same time. Recovery signs can be seen in Europe with France seeing a 1.5 percent rise, Germany, 2.6 and the UK 0.7 percent.
It is believed these numbers show the European economy is seeing a light at the end of the recession tunnel with industrial production expected to grow over the coming months. The current recovery should still be viewed as fragile as the country faces continuing fiscal austerity measures, high unemployment and tight credit obstacles.
Production was sluggish in India. This could be attributed to the Indian currency’s record low, disrupting manufacturing industries that have fallen victim to imported input prices and increases in production costs. By contrast, Indonesia saw a performance growth of 6.6 percent while Latin America saw a spike of 2.1 percent.
The United Nations Industrial Development Organization believes, taking the current numbers into account, the global manufacturing output should grow another 2.7 percent in 2013. This is based on recovery in Europe and higher demand in industrialised regions.