Downtrend in Industrial PMI

The Purchasing Managers’ Index for Iranian industries in the current fiscal year’s 10th month (Dec. 22-Jan. 20) settled at 50.31 from 56.53 in the preceding month (Nov. 22-Dec. 21), indicating an 11% decline. 
According to the Statistics and Economic Analysis Center of Iran Chamber of Commerce, Industries, Mines and Agriculture, the sponsor and coordinator of the report, contrary to last month's positive expectations of producers, most industries have now been forced to cut production due to a sharp drop in orders. All industries have faced a rising growth in gas prices which, along with concerns about tax increases, have made it very difficult for them to plan ahead, given the people’s declining purchasing power. 
The petrochemical industry is still struggling with its raw material supply chain and automakers have caused problems for auto parts makers by not paying their outstanding debts. Medicines and food on which heavy subsidies are spent end up being shipped abroad due to lack of proper supervision.