Industrial production registers lowest index since 2017, says CNI

Industrial activity follows a slowdown trend at the beginning of 2023 – the indicator fell by 2.7 points. Data from the Industrial Survey, a survey carried out by the National Confederation of Industry (CNI), released this Thursday (16), show declines in the production and employment indices, respectively, from 47.9 points to 45.2 points and from 49 .2 points to 48.5 points, from January to February.

According to the CNI, these indicators range from zero to 100 and the farther from the cutoff line, towards zero, the greater and more widespread the retreat. Despite being common for the period, this year the drop in production and employment was more intense than in previous years.

“Production usually retreats even from January to February, however, from 2017 to now, this was the lowest index. The number is also lower than the historical average for the month, with 46.5 points”, said CNI Economic Analysis manager Marcelo Azevedo.

moderate optimism

From February to March 2023, the expectation indices for the next six months changed little, according to the survey. Despite remaining above 50 points, in general, all are below their respective historical averages, which means moderate optimism.

The investment intention index stood at 53.6 points in March 2023, down 0.4 points compared to February. However, it remains above the historical average of 51.5 points and reveals its intention to invest above the usual level.

The Industrial Survey is a monthly survey that listens to small, medium and large industries to assess the evolution of production; number of employees; average utilization of installed capacity; inventory level and actual inventory in relation to plan; investment expectations and intentions. 1,637 companies were consulted between March 1st and March 9th, 2023.