29 Jun 2012
Focus on emerging markets
Manufacturers in the East of England are remaining resilient and continuing to take advantage of growth in emerging markets according to a survey by EEF, the manufacturers’ organisation, and business advisers BDO. The second-quarter Manufacturing Outlook survey shows that output and orders remained firmly in positive territory over the last three months at +41 and +35% respectively, the best performance of any UK region.
However, looking forward, the continuing economic uncertainty and fears over the European economy have taken a toll on confidence with output and orders for the next three months more or less flat. Despite this fall, the picture remains positive for job prospects, with recruitment intentions remaining strong at +53% in the last three months, though weaker in the next three.
This continues a positive trend on recruitment in manufacturing companies stretching back to the beginning of 2010.
Jim Davison, EEF regional director, said: “Manufacturers are holding steady and displaying the resilience and agility they have displayed in response to a number of unforeseen events in recent years. Despite the problems closer to home, they are building on successful strategies to access growth opportunities in new markets.
“The main risk to activity is still rooted in the on-going euro-zone crisis. While the growing political and economic uncertainty in the region has not significantly dented confidence as yet, it is far from clear what or when the end game might be. This could delay positive investment intentions being translated into a sustained recovery in capital expenditure, at least in the short term.”