Claire Wilson
GROWTH in Spanish manufacturing activity sped up slightly in October, marking the third straight months of increased output.
The uptick has been attributed to demand from the export market as domestic consumption remains muted, according to Markit’s Purchasing Managers’ Index (PMI).
Markit economist Andrew Harker said: “The improving picture in the Spanish manufacturing sector continued in October, although there is little sign so far of a widening build-up of momentum.
“The most positive aspect from the latest survey was a quickening of new order growth, but again this seemed to be mainly based on success in export markets rather than a broad-based improvement in client demand.”
In the eurozone as a whole, factory orders also increased, and some factories were unable to cope with demand.
Manufacturers saw backlogs rise as stocks of finished products continued to fall.
France and Greece were the only countries not to register an improvement in conditions.
This article fails to mention one of Spain’s best known companies – Fagor-Brandt is closing a factory in France and has a deficit of €879M and is on the verge of bankruptcy.
Also I’d like to know exactly where these factories are that can’t meet demand, then I might consider investing in the parent companies.
Fagor have called in the receivers as far as am aware…!