The most recent Business Conditions Survey conducted by the Canadian Manufacturers and Exporters indicates there’s growing optimism in the Canadian manufacturing community.
Respondents’ optimism about the next three months was higher than at any other time in 2009, according to the survey.
“It’s a glimmer of hope in an otherwise bleak outlook,” said CME president Jayson Myers. “I believe the real economic impacts are still to be felt, but it is encouraging news that the economic decline appears to be slowing.”
Of the 717 companies that responded, 49% said they expect orders to decrease between March and June. In February, 56% of respondents felt orders would decline.
Another reason for hope was that 13% of companies that responded said they will increase their employment over the next three months, up from 11% in February. The number of companies planning layoffs declined from 45% to 42%.
The survey found the credit crunch remains an important issue for manufacturers and exporters, with 59% of businesses reporting problems acquiring credit.
“Accessing credit continues to be a major hurdle for companies of all sizes to overcome during this major economic downturn,” Myers said. “We need to put pieces of the credit puzzle together quickly or we will see more companies, even very innovative and productive companies, laying off more workers and going out business. If companies cannot access credit soon, the financial meltdown could translate into a Canadian industrial meltdown.” Read more here.