Republika Srpska:Mining sector marks increased production output

Published on 4. September 2013., SEE Energy News

Significant increase in the digging of metals, coal and lignite in the last month contributed that the Republika Srpska mining sector exceeded last year’s level of production for the first time since the beginning of the year, which automatically pushed the growth of all industrial production.

According to the RS Bureau of Statistics, the seasonally adjusted production of the mining sector in July increased for 12.7 percent compared to the previous month. The result is that the seven-month production of the mine “floated” above zero, that is, recorded a small  increase of 1.8 percent compared with the same period of 2012.

As a reminder, on the half- year it was statistically recorded the mining activity decline of 2.7 percent

The reinforced mine work in July was followed by several months trend of growth in the manufacturing sector (in the period January – July amounted eight percent) and electricity production by 4.8 percent, which led to the growth of RS industrial production by 5.8 percent.

Observing the processing activities with significant participation in the total production, the largest, more than double, jump was recorded in manufacture of machinery and equipment (116.3 percent), than transport equipment by 91.2 percent and electrical equipment by 56 percent.

On the other hand, the biggest drop was recorded in manufacture of computers, electronic and optical products for 59.8 percent, than “other non-metallic mineral products” by 26.4 percent and base metals by 24.8 percent.

Pero Coric, director of the Branch Associations Sector in the RS Chamber of Commerce, says that encourages total production increase, but also points to unstable movements in most of the industrial activities.

“The positive thing is that strategic branches that achieve more revenues and employ more workers, such as mining and energetics, also achieve positive progress what encourages that the overall growth will be recorded at the end of 2013. However, the problem is the continued long-term growth in production is noted only in the wood and leather industry, especially in furniture, while all other branches have significant monthly oscillation of which also depend the overall results, which is not good “, said Coric

He says that without several months trend in industrial growth in most areas we cannot speak about the desired long-term stability and economic recovery, particularly in the situation where there is not new employment.
Moreover, according to the RS Bureau of Statistics, for the seven months the number of employees decreased by 0.4 percent compared with the same period of 2012. Looking across the sectors, the work force reducing is evident in the most important manufacturing sector (0.8 percent), while in the mining and energy sector increased employees number by 0.4, that is 2.6 percent.

Production in FBiH grew by seven percent

The total industrial production in the FBiH increased by seven percent in the first seven months of this year compared to the same period last year, with different trends across sectors.

In the period January – July the production and supply of electricity and gas in the FBiH grew by 12 percent, the manufacturing sector achieved increase by 10.3 percent, while mining and quarrying decreased production by 15.2 percent.

The manufacturing sector recorded the best seven-month results in the production of motor vehicles and trailers with a growth of 43.3 percent and in the machines and equipment manufacture of  33.1 percent, while the largest decrease occurred in the manufacture of electrical equipment by  27.6 percent, and computers, electronic and optical products by 16.6 percent.

Source; Serbia Energy See desk/RS BiH gov