Colombia’s industrial production, excluding coffee processing, contracted 3.8% in September from the same month in 2008, according to official data released Wednesday.
The National Statistics Department, known as DANE, said production of electric devices fell 27% while production of clothes fell 15% in September from the same month in 2008.
The contraction was in line with local brokerage Interbolsa’s expectation.
Employment in the industrial sector fell 6.2% in September from the same month in 2008.
Industrial production in the first nine months of the year contracted 7.1%, dragged down by a decline in vehicle output, which contracted 36%.
Vehicle production declined, as Colombians are less eager to buy new cars because of the economic crisis and also because Venezuelan President Hugo Chavez blocked imports of Colombian cars.
Chavez’s government granted to Argentine producers import quotas of 10,000 vehicles previously granted to Colombian assemblers.
Venezuela’s import quota for Colombian vehicles was 22,500 in 2008 and 45,000 in 2007. (Dow Jones)