The physical volume of manufacturing in South Africa in March decreased by 1.1 percent year-on-year after a revised 3.9 percent (3.5 percent) increase in February, data provided by Statistics South Africa shows.

The 7.7 percent year-on-year growth in May 2007 was the highest growth rate in 24 months, but total 2007 growth was at just 4.1 percent from 4.8 percent in 2006 as tougher conditions set in.

The data on Thursday, however, showed that total sales of manufactured goods lifted 14.7 percent year-on-year in March to R108.3-billion from the revised 16.3 percent (15.3 percent) recorded in January.

Stats SA said the basic iron and steel, non-ferrous metal products, metal products and machinery and the motor vehicles, parts and accessories and other transport divisions were the main contributors to the decrease.

Manufacturing production for the first three months of 2008 increased by 1.3 percent year-on-year, reflecting a slowdown compared with the growth of 6.3 percent reported for the same period in 2007.

Seasonally adjusted production in the first quarter of 2008 compared with the fourth quarter of 2007, meanwhile, decreased by 0.5 percent, caused by decreases in six of the ten major divisions. The comparable figure for the first quarter of 2007 was 1.4 percent.

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