The National Production showed a slowdown of 0.63% in August 2023, thus accumulating six negative months so far this year. The result was supported by the contractionary result of the sectors Agricultural; Manufacture; Construction; Transportation, Storage and Courier; Accommodation and Restaurants; Telecommunications and Financial. However, it was partially offset by the growth of the Fishing sector; Mining and Hydrocarbons; Electricity, Gas and Water; Trade; Services Provided to Companies and Other Services, reported the National Institute of Statistics and Informatics (INEI).
According to the INEI, in the period January-August 2023 the country’s economy contracted by 0.58%; while, it grew in the annualized period (September 2022-August 2023) by 0.25%.
Behavior of GDP in recent years. Photo: INEI
Most affected sectors
In the eighth month of this year, the sector Construction It contracted by 9.57%, evidenced by the reduction in internal cement consumption (-9.45%) and the lower physical progress of public works (-10.77%). The result of domestic cement consumption is explained by the lower progress of private investment in construction, as well as self-construction, given the limited recovery of the real estate and commercial market.
The sector Manufacture It contracted by 4.11% due to the poor performance of the non-primary manufacturing subsector (-9.44%); meanwhile, the primary manufacturing subsector increased (16.52%). The performance of the non-primary subsector was influenced by the lower level of production in the consumer goods industry (-11.60%) and intermediate goods industry (-9.31%); while, the capital goods industry grew (32.83%). The advancement of the primary subsector was influenced by greater activity in the branches of fish processing and preservation (105.9%), manufacturing of petroleum refining products (49.7%), manufacturing of primary precious metal products (1 .9%) and sugar manufacturing (8.6%).
While the sector Agricultural It was reduced by 4.05% due to the unfavorable behavior of the agricultural (-6.52%) and livestock (-0.45%) subsectors.
Among the crops that were affected were: olive (-70.8%), paprika (-61.1%), strawberry (-60.6%), corn (-42.4%), oil palm (- 21.7%), asparagus (-20.4%) and avocado (-6.9%), given the smaller area planted with main crops and the adverse consequences of Cyclone Yaku, recorded at the beginning of the year; the “El Niño Costero” phenomenon with temperatures above its average value that affected the flowering process on the coast, and the lower availability of fertilizers during the period of the production process of some crops.
The contractionary performance of the livestock subsector was influenced by the lower production of eggs (-1.2%), poultry (-1.1%), fresh milk (-1.0%) and goats (-0.7%).
In addition, the sectors decreased Transportation, Storage and Courier (0.28%), Accommodation and Restaurants (0.67%), Telecommunications and Other Information Services (2.35%), and Financial and Insurance (9.68%),
Sectors that mitigated the fall
The production of Mining and Hydrocarbons sector increased by 5.17% due to the expansion of metal mining activity by 4.63%, mainly supported by the higher production volume of copper (7.5%), zinc (6.8%), gold ( 8.3%) and iron (17.5%); However, silver (-4.1%) and molybdenum (-24.4%) were reduced.
In August 2023, the sectorr Trade grew by 2.83% due to the positive performance of wholesale sales (2.63%), such as the marketing of fuel and lubricants for industry, mining and retail service stations; machinery and equipment for the mining, construction, industrial and health sectors (bearings, chargers, refrigeration equipment, generating sets and medical equipment); metals and metalliferous minerals; as well as household goods, given the dynamism of the wholesale marketing of pharmaceutical products (antihistamines, antianemics and vaccines).
While, Fishing grew 49.14% driven by the greater extraction of species of maritime origin (66.02%), destined for indirect human consumption (anchovy for fishmeal and fish oil) with a capture volume of 182,785 tons, compared to the 35,295 tons recorded in August 2022. This landing corresponded to exploratory fishing in the North-Central area of the country’s coast, mainly in the ports of Chicama and Chimbote, which contributed 76% of the total catch.
They also grew Electricity, Gas and Water (3.20%), Services Provided to Companies (0.77%).
Source: Larepublica
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