According to Statistics Estonia, in 2023, at constant prices, industrial enterprises produced 10.5 percent less output than the year before.
Production decreased in all three sectors of industry: in energy by 21 percent, in manufacturing by 9.8 percent, and in mining by 4.7 percent.
According to Statistics Estonia’s lead analyst Helle Bunder, production volumes decreased in all months in 2023. “Last year was difficult for industrial companies, compared to previous periods, it can be observed that so little was produced last 14 years ago,” commented Bunder.
Last year, production volumes decreased in most of the 23 activity areas of the manufacturing industry. Of the major industries, wood processing decreased by -16.8 percent, food products by -3.6 percent, metal products by -9.2 percent, construction materials by -21.9 percent, and the production of computers and electronic equipment by -8.7 percent. Among the major areas of activity, oil shale oil production grew by 18.8 percent, motor vehicle, trailer and semi-trailer production by 4.2 percent, and repair and installation of machines and equipment by 8.4 percent.
In 2023, 66.6 percent of the entire production of the manufacturing industry was sold to the foreign market. Compared to the previous year, according to calendar adjusted data, exports decreased by 8.3 percent in current prices, while sales to the domestic market decreased by 7.3 percent.
In December, the production volume of industrial production decreased by 2.5 percent compared to the same month of 2022, and in the manufacturing industry by 1.6 percent. In the field of energy, electricity production in quantity (MWh) decreased by 27.7 percent in December, heat production increased by 1.2 percent.
On the basis of seasonally adjusted data, production was 5.3 percent higher in industry and 5.9 percent higher in processing industry in December compared to November.
Industry is the largest economic sector and an important driver of economic growth. The industrial production index covers the economic indicators of three areas, i.e. mining, energy and manufacturing.
In order to compile the index of industrial production, the Statistical Office collects and analyzes data on the order of the Ministry of Economy and Communications in order to understand how the Estonian economy is doing.
