The signs have not been good for UK manufacturing this week, with the PMI falling to a 26-month low
and yesterday’s announcement of a surprise fall in industrial production
Some believe one of the problems the sector faces is its low profile – even though manufacturing makes up 10 per cent of GDP - so promoting what we do make here in the UK will give it a boost.
A group of MPs last month launched the Made by Britain campaign, asking their colleagues to nominate something manufactured in their constituency to be proud of
. Suggestions so far include the AGA, ejector seats and fishfingers.
In Ireland too they are trying to boost domestic consumption. Research into the “Guaranteed Irish”
mark - applied to products made in the country - found if households spent an extra €4 (£3.53) a week on such items, it would create 6,000 extra jobs.
The government there, just like their UK counterpart, is now looking into how it can utilise public procurement to support domestic firms.
A suggestion could be to follow the example of the Brazilian government. As we report in this month’s IFPSM ezine
, it is allowing its public buyers to spend up to 25 per cent more on domestic goods compared to foreign products in order to boost domestic growth.