Ireland's Purchasing Manager's Index (PMI) fell sharply in April compared with the previous month to indicate the weakest rate of manufacturing activity in three years, NCB Stockbrokers said today.
The PMI Index, which gives an overall view of manufacturing conditions, eased to 50.3 in April after recording a level of 51.9 in March. The survey is seasonally adjusted, with readings above 50.0 signalling growth and below 50.0 signalling contraction.
NCB'schief economist Mr Dermot O'Brien said the main reason for slower growth appears to be the weakening external environment, though the impact of the foot-and-mouth crisis was also cited.
However, employment continued to grow, albeit modestly, while inflationary pressures abated further, he said.
The PMI is based on a survey of 250 manufacturing companies in the Republic and is conducted in association with the Irish Institute of Purchasing and Materials Management.