Woodworking technologies: orders down by 11.4% in 1Q 2005

May 18, 2005. /Lesprom Network/. The first quarter of 2005 does not allow any increased optimism for the future. According to the Acimall Studies Office, between January and March the orders of woodworking machines and tools have gone down by 11.4% (-8.5% on foreign markets, -19.7 in Italy), as compared to the same period of 2004. The contraction was equally remarkable as compared to the previous quarter (October-December 2004), i.e. 11.1%, fueled by an 11.6% decrease in the demand from foreign customers and 9.3% from Italian customers. Involving a sample that represents the entire industry in terms of company dimensions and product categories, the survey shows a negative result (common to the woodworking industry all over the world) after the expansion period that closed 2004 with a 4.6% turnover increase. Some symptoms of inversion were perceived in the second half of the year, a slowdown that cooled down the enthusiasm for the data recorded during the first six months and that was confirmed by a less encouraging first quarter in 2005. The sample companies have highlighted a trend towards increasing prices (more than 1.2% from the beginning of the year) and assured production equal to 2.5 months (on 30th March 2005). According to the quality survey, 52% of the interviewed companies indicate a stationary production trend, 13% growing and 35% decreasing. Available stocks are stable according to 58% of the sample companies, decreasing for 13% and increasing for 29%. Employment is considered as stationary by 77% of the sample, falling by 20% and increasing by 3%. The forecast survey can only reflect this situation: Italian woodworking technology manufacturers are extremely uncertain about what it is going to happen in the near future, some of them show some optimism with respect to the export trend, while others are rather pessimistic about the rally of investments by Italian customers. Foreign orders are therefore expected to grow according to 16% of the interviewees, remain stable for 74% and shrinking for 10% (positive balance +10). In Italy, things are not going to change for 68% of interviewed companies, orders are going to increase according to 10% and decrease further for 22% (negative balance -12).