Growth of global food output reaches post-crisis high

Global sector PMI" data from Markit signalled a record rate of growth in global food producer output in February. The sector was also the fastest-growing of all sectors monitored on a global basis in the latest period.

Pharmaceuticals & biotechnology and telecommunication services were the second- and third-fastest growing sectors respectively in February. The rates of expansion in business activity reached 22- and 35-month highs respectively.

The lower half of the growth rankings was littered with basic manufacturing- and construction-related industries. However, only one sector - metals & mining - saw falling output in February, where production declined slightly for the first time in five months. Metals & mining consequently replaced media at the foot of the global sector rankings, with the latter growing for the first time in six months.

Global Sector PMI summary

Banking was another sector to enjoy a recovery in growth in February, rising nine places in the rankings in the process - more than any other sector. Other finance-related sectors also performed comparatively well, with insurance, real estate and other financials ranked fourth, sixth and seventh respectively.

Deflationary pressures remained clearly evident in February, albeit across a narrower range of sectors. Six of the 23 sectors reported falling input prices during the latest period, down from ten in January. The steepest declines were registered in chemicals, followed by metals & mining and general industrials. That said, ten sectors registered faster rates of input price inflation, with the steepest overall increase in telecommunication services. Meanwhile, eight sectors reported falling output prices, compared with 11 in January. The steepest price reduction was seen in metals & mining, followed by chemicals.

Global Food PMI

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