Better orders and output boost UK manufacturing

UK manufacturing industry continued to expand slowly in August 2000. Stronger output levels and healthy order levels were responsible for the performance. The devaluation of the pound against the US dollar resulted in growing of export order books. Higher output levels led to increased purchasing activity. Manufacturers continued to focus on efficiency gains and cost-cutting exercises, resulting in dropping of inventories of finished goods. Prices paid for raw materials and semimanufactured goods, grew strongly, but at a slower rate than in July 2000.