CAPE TOWN: Slowdown in economic growth in the first quarter hit local industries hard, with official data showing on Tuesday that the total turnover they generated fell over the period.
South African industries recorded an estimated total turnover of R1.95-trillion, a 5.2% decline compared with R2.06-trillion in the fourth quarter of last year, Statistics SA’s quarterly financial statistics (QFS) showed. This takes into account the total turnover from all local industries excluding agriculture, financial intermediation, insurance and government institutions.
Turnover fell in seven of the eight industries covered by the quarterly survey. The largest percentage decrease in turnover was recorded in trade, followed by manufacturing; transport, storage and communication; mining and quarrying; electricity, gas and water supply; real estate and other business services excluding financial intermediation and insurance; and construction.
An increase was recorded in community, social and personal services, excluding government institutions. Total closing inventories at the end of the first quarter of this year were estimated at R680.6bn, a 1% increase compared with R674.2bn at the end of the fourth quarter of last year. Manufacturing and construction inventories rose.
Total capital expenditure on property, plant and equipment was estimated at R86.3bn in the first quarter, a 9.3% decline when compared with R95.1bn in the previous quarter. The largest percentage decrease was recorded in mining and quarrying, while increases were recorded in construction; electricity, gas and water supply; and trade. Total turnover was, however, higher in the first quarter of this year when compared with the same quarter last year. It was an estimated at R1.95-trillion compared with R1.87-trillion.
