The Statistics South Africa data shows that the mining sector experienced a 1.9% decline in September compared to the previous year. This follows a 2% contraction in the previous month, with diamond, other metallic minerals, and manganese ore being the main negative contributors.
Gold production also declined, while platinum group metals made a notable positive impact.
Additionally, the sector faced various challenges such as electricity supply, high inflation, and logistics constraints, which hindered its operations.
Furthermore, weak commodity prices have significantly reduced the sector’s profitability, resulting in a negative impact on Gross Domestic Product growth.
#Mining production decreased for a third consecutive month in September, declining by 1,9% y/y. Production was down 0,3% m/m.
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#StatsSA pic.twitter.com/H9vgT8SSWa— Stats SA (@StatsSA) November 9, 2023
