Turkey’s Purchasing Managers’ Index (PMI) for the manufacturing sector came in at 46.8 points in April due to slower output and purchasing activity, according to a closely watched business survey released Thursday.
An Istanbul Chamber of Industry PMI Manufacturing Index report done in cooperation with IHS Markit last month slipped 0.4 points from March, showing that market conditions remain challenging for Turkish manufacturers.
'The slowdown was the thirteenth in as many months, albeit less marked than the average over this period,' the report said.
New orders continued to moderate, leading to slower output and purchasing activity while employment was broadly stable, the report showed.
'More positive was the labour market situation, with employment broadly stable amid signs that firms are looking to the future and working on new products in anticipation of an improvement in business conditions later in the year,' said Andrew Harker, IHS Markit's associate director.
The rise in input costs was the sharpest since last October due to the weakness of the Turkish lira particularly against the U.S. dollar, according to the firms participating in the survey.
PMI for the manufacturing sector is seen as an important gauge in tracking the health of the sector, with values below 50 points showing contraction while above indicates expansion.
By Tuba Sahin