Irish manufacturers have reported weakening global demand for their products, but conditions at home are improving, according to the latest industrial survey.
The monthly NCB Purchasing Managers' Index - which gives a broad indication of the economic health of industry - fell for a third consecutive month to 50.7. A reading above 50 signal expansion and a sub-50 reading indicates contraction.
The March indicator was down from 51.8 in February and was the weakest expansion of the sector since September 2003.
Mr Eunan King, senior economist at NCB stockbrokers, said: "Manufacturing activity appears to be expanding only modestly, mainly as a result of weakening export demand. Employment is still rising, if at a marginal rate. Input prices continue to outpace the rise in output prices."
Manufacturers reported sharp growth of their average input costs mainly due to higher prices for oil and other commodities that have been rallying on world markets.
