The Georgia PMI for September decreased 4.5 points to 56.8, 0.4 of a point below its six-month average of 57.2.

The continued strength of new orders through September was offset by the decrease in production and finished inventories. Production still remains at a high level, and the increase in the number of respondents expecting higher production in the coming months suggests

the PMI should remain at a sound level of growth, according to Don Sabbarase, co-director of the Econometric Center and professor of economics at Kennesaw State University.

“Respondents reported future production expectations increasing for the next three to six months at 41 percent for September. This is up from August’s reading of 30 percent,” Sabbarase said.

According to the report, Georgia manufacturing’s new orders 7.3-point increase to 68.2 continues to reveal strong demand for Georgia manufactured products. Production’s 8.2-point decrease is a large adjustment but remains at a high level of growth at 61.4 points.

Other highlights from the September PMI: 

• New orders up 7.3 points to 68.2, 5.3 points above its six-month average·      Production down 8.2 points to 61.4, 1.3 points below its six-month average·      Employment up 0.3 of a point to 56.8, 1.2 points below its six-month average·      Supplier delivery up 2.5 points to 56.8, 0.3 of a point above its six-month average
• Finished inventory down 24.3 points to 40.9, 5.1 points below its six-month average
• Commodity prices down 10.8 points to 52.3, 6.8 points below its six-month average

The Georgia PMI provides a snapshot of manufacturing activity in the state, just as the monthly PMI released by the Institute for Supply Management provides a picture of national manufacturing activity. A PMI reading above 50 indicates that manufacturing activity is expanding; a reading below 50 indicates it is contracting.