Home / Knowledge / News / Difficult time for export & services sector
Difficult time for export & services sector
19
Jan '08
The Q4 2007 Quarterly Economic Survey of 4,600 members of the British Chambers of Commerce indicates difficult times lie ahead for the Government and Monetary Policy Committee if they are to steer a safe course for the UK economy in 2008.

The Q4 results are negative with most critical balances for both the manufacturing and services falling.

Of particular concern for the service sector are export balances which are disturbingly weak while profitability confidence has plummeted by 17 points.

The manufacturing sector also saw export performance worsen markedly in Q4, with plans to increase investment in plant and machinery falling by 12 points.

Across both the services and manufacturing sectors the pressure on pricing is worrying. The balance of manufacturing firms reporting pressure to raise prices rose 9 points in Q4 to +41%, an all time high.

In services, the balance of firms expecting to increase prices rose 12 points, to +40%, also an all time high.

David Kern, economic adviser to the British Chambers of Commerce, said: “The latest results show the tough position that the MPC is in as it contemplates its next move.

“Overall, the Survey results are negative. The critical balances for both manufacturing and services have fallen, with exports being of particular concern.

The pressure that many firms are feeling on pricing show inflationary pressures that may be hard to keep a lid on.

“Talk of recession however is unjustified and must be strongly resisted.

If the right policies are adopted the damage associated with an economic slowdown can be limited.

Inflationary concerns cannot be shrugged off but a small interest rate cut early in 2008 will alleviate the credit squeeze, prevent a major confidence loss, and reduce the need for dangerous emergency measures later in the year.”

British Chambers of Commerce

Must ReadView All

Textiles | On 7th Dec 2016

New Texprocil chairman bats for increased UPI adoption

Ujwal Lahoti, the new Cotton Textile Export Promotion Council...

RBI Governor Urjit Patel addressing a press conference. Courtesy: Youtube

Textiles | On 7th Dec 2016

Defying expectations, RBI keeps repo rate unchanged

Defying market expectations, the Monetary Policy Committee (MPC) of...

The new OJ 59/1 B. Courtesy: Karl Mayer

Textiles | On 7th Dec 2016

Karl Mayer unveils new LACE.EXPRESS model for apparel

Germany’s leading textile machinery firm, Karl Mayer, has launched a...

Interviews View All

Asim Dalal
Indo Count Retail Ventures

Today, there is no other emerging market as India, "we make in India and...

Jurgen Gauger
Spreadshirt

‘Buying crowdsourced or creative designs are much more appealing to the...

Veronique Lee
Modavanti

‘Sustainable fashion is trending upwards, slowly but surely, as people...

Lynda Kelly
Suominen Corporation

Suominen Corporation is a manufacturer of nonwovens as roll goods for...

Eric Scholler
Groz-Beckert

The Indian market has huge potential in technical textiles, and by far,...

Silke Brand-Kirsch
Schlegel und Partner

Silke Brand-Kirsch, executive partner of Schlegel und Partner, a leading...

Igor Chapurin
Chapurin

"Now we can see the Russian trend in international fashion. And Russian...

Robert Brunner
Devereux

Golfwear and menswear brand Devereux is set for greener pastures. Robert...

Sonam & Paras Modi
SVA

Sonam and Paras Modi's Sva Couture is synonymous with head-turning...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH
December 2016

December 2016

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

SUBSCRIBE


Browse Our Archives

GO


Advanced Search