Industrial production in Colombia dropped 14.5 percent in April compared to the same month last year due to the recession the country has been going through since Q1, announced the Colombian government Thursday.
The decline is due to lower production of automobiles, clothing, food and steel and iron ore, noted the Department of National Statistics (DANE). According to recently figures released by worldsteel, Columbia's steel production totaled 95,000 mt May (estimated), up slightly from 90,000 mt in April, but down 4.0 percent from the 99,000 mt produced in May 2008.
From January to April, Columbia's industrial production reflected an accumulated decline of 9.3 percent compared to the same period last year, added DANE. Moreover, industrial production in the last 12 months (through April) has dropped 7.4 percent compared to the same period last year.
At the beginning of the year, the government forecasted Colombia's GDP would grow by about three percent in 2009. However, now, the government foresees only a 0.5 percent expansion due to the impact that the global financial crisis has had on the country. On the other hand, some analysts have a more pessimistic view and expect the GDP growth to drop under zero this year.