Iran’s new PMI data for the fiscal month of Dey (December 22, 2023 – January 20, 2024), released by the country’s Chamber of Commerce, has remained almost unchanged compared to that of the preceding month.
The new PMI was reported at 50.84 to register one of its lowest in five months.
The findings of this survey suggest that the rise in forex rate has caused problems for companies in the supply of raw materials and it seems that instable forex rates come as another shock to the production sector.
Over the past few months, a large number of companies have not been producing with full capacity, with some of them being forced to retrench part of their workforce.
The Statistics and Economic Analysis Center of Iran Chamber of Commerce, Industries, Mines and Agriculture, the sponsor and coordinator of the survey, announces the whole economy PMI data in a report every month.
The headline PMI is a number from 0 to 100, such that over 50 shows an expansion of the economy when compared with the previous month. A PMI reading under 50 indicates contraction and a reading of 50 implies no change.
PMI is an index of the prevailing direction of economic trends, aiming to provide information about business conditions to company directors, analysts and purchasing managers.
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The “business activities” sub-index (49.50) has been declining for a second month in a row, with the agriculture, services and construction sectors witnessing a more fall in activities.
The “raw material inventory” sub-index (49.85) has also been reducing for a second consecutive month and the companies have had challenges supplying their required input.
The “employment” sub-index was reported at 49.12 to post a four-month low.
The “exports of goods and services” sub-index (47.77) fell for a seventh month in a row although the decline occurred with a lower slope in comparison to that of the preceding month.
The “sales of goods and services” sub-index declined for a third consecutive month to settle at 48.23. it registered a six-month low in the month under review.
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INDEX
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Aban1402 (Oct-Nov2023)
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Azar1402 (Nov-Dec2023)
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Dey1402 (Dec2023-Jan2024)
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PMI
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50.96
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49.88
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50.84
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|
business activities
|
51.43
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48.83
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49.50
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|
new orders
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46.89
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47.06
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51.71
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|
suppliers’ delivery time
|
55.56
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57.05
|
54.28
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|
raw material inventory
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52.19
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48.64
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49.85
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employment
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52.39
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50.65
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49.12
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raw materials price
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66.91
|
67.45
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68.75
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finished goods inventory
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52.90
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49.54
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50.03
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exports of goods and services
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49.81
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43.91
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47.77
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price of goods and services
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51.11
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60.06
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53.40
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consumption of energy carriers
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61.31
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60.14
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60.84
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sales of goods and services
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49.22
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48.50
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48.23
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expectations for next month economic activities
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56.01
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58.23
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63.94
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