Industrial production drops by 12.1% in October

Output from Irish-based factories fell by 12.1 per cent in October compared with the previous month, official figures show, underscoring the uneven nature of Ireland’s recovery.

The latest Central Statistic Office numbers suggest the effects on the manufacturing sector of weak international growth and further retrenchment in the pharmaceutical sector are still taking their toll.

On an annual basis, the index of industrial production fell 7.6 per cent compared with the same month last year.

The adjusted volume of industrial production for the three-month period from August to October was 5.6 per cent lower than in the preceding quarter.

The “modern” sector comprising high-tech and chemical firms showed a monthly decrease in production of 16. 7 per cent for October while the “traditional” manufacturing sector enjoyed a monthly rise of 0.3 per cent.

Alan McQuaid of Merrion Stockbrokers said: "We still firmly believe that when the world economy regains momentum, Ireland is better placed than most to take advantage of that."

“But, on the basis of the figures for the year to date, manufacturing output for 2013 as a whole will post a low single digit decline for the second year running,” he added.