S'pore manufacture at 37-month high

S'pore manufacture at 37-month high

SINGAPORE : Singapore's vital manufacturing sector is expected to expand this year after a key index monitoring factory orders surged to a 37-month high, the Singapore Institute of Purchasing and Materials Management (SIPMM) reported on Tuesday.

The purchasing managers index (PMI) soared to 54.5 points in December, up 1.3 points from the previous month.

The electronics PMI also rose by 1.6 points to 55.9, staying above the 50-point threshold indicating expansion for the entire second half of 2003.

The PMI is compiled monthly by SIPMM, which surveys more than 200 companies.

The manufacturing PMI's seventh straight month of expansion "may signal better times ahead this year for our manufacturing sector", said institute chairman Alick Chia.

Driven by improved global demand and U.S. business confidence, the manufacturing recovery here is "well underway", he added.

New export orders also picked up with the sub-index gaining 2.4 points to 56.2.

It may not be long before a new wave of hiring begins, Chia added. --DPA