Page 42 - RusRPTMar21

since last August and widely linked to stronger demand conditions,” Markit said.
“At the same time, new order inflows picked up, and rose at the fastest pace since August 2020. Alongside greater customer demand, panellists stated that new client acquisitions helped to drive up sales. In contrast to the trend for total new orders, new export business fell once again in February,” Markit added.
Also contributing to a higher headline PMI figure was a marked deterioration in vendor performance, and one that was the greatest since May 2020. Longer lead time for inputs were commonly attributed to transportation delays and supplier shortages.
As a result of capacity pressure at suppliers, cost burdens rose substantially in February, also contributing to rising inflation.
“The rate of input price inflation was among the steepest since February 2015. That said, manufacturing firms were able to pass on some of their higher costs to clients through a marked rise in charges. The pace of output price inflation accelerated to the sharpest in six years,” said Markit.
In line with greater lead times, manufacturers utilised their inventories in an effort to supplement production. Stocks of purchases and finished goods dwindled further, with the former falling at the quickest rate for three months.
Input buying increased for the first time since August 2020, however, as firms sought to meet greater production requirements.
Meanwhile, the rate of job creation quickened and was the fastest since December 2018. Although backlogs of work continued to fall, the rate of contraction was the slowest since last September, reports Markit.
Finally, business confidence among Russian manufacturing firms remained upbeat in February. The level of positive sentiment improved to the strongest since January 2020, in a result that is borne out by Rosstat’s business confidence survey.
42 RUSSIA Country Report March 2021 www.intellinews.com