Moldova’s industrial activity gained momentum in October (as in previous months), when it advanced by 9.9% y/y: the highest growth in the past three years according to the national bureau of statistics.
Furthermore, the 12-month rolling (trend) index increased by 3.6% y/y, preparing the ground for robust performance in the year from the below 1% y/y advance in 2015-2016.
Industrial growth strengthened in Q3 to 5.7% y/y. Fruits and vegetable processing increased by nearly 20% y/y in Q3 and doubled y/y in October. Wood processing also gained momentum, showing 24% y/y growth in Q3 and 45% y/y in October. Production of spirits holds a significant role in Moldova’s economy and it advanced by 27% y/y in Q3 and 11% y/y in October. Wine production decreased by 19% y/y in October indicating a smaller (or delayed) crop this year.
But beside such traditional industries based on primary resources, new industries are emerging. Thus, the production of electrical equipment (mostly used in the automobile industry) advanced by 59% y/y in Q3 and 66% y/y in October. Rubber and plastic parts production increased by 14% y/y in both Q3 and October as well.
Industrial Production y/y | 2013 | 2014 | 2015 | 2016 | Q4-16 | Q1-17 | Q2-17 | Q3-17 | Oct-17 |
TOTAL | 8.6% | 7.3% | 0.7% | 0.9% | 2.7% | 1.1% | -1.0% | 5.7% | 9.9% |
Mining, quarrying | 22.3% | 0.2% | -9.2% | -15.5% | -13.2% | -16.9% | 9.2% | -13.6% | -5.1% |
Manufacturing | 10.7% | 8.5% | 2.3% | 1.8% | 1.2% | 0.4% | -0.1% | 6.4% | 13.6% |
Utilities | -4.3% | 4.4% | 1.0% | -0.9% | 14.7% | 3.3% | -10.8% | 7.0% | -12.7% |
Source: BNS |