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Tuesday, 24 September 2013

Industrialized countries still top performance index, according to new UNIDO report

VIENNA, 24 September 2013 - Despite lower industrial growth caused by the recent economic recession and a reduced share in world manufacturing output, high-income industrialized countries continue to rank highest in UNIDO’s competitive industrial performance index. 

The Competitive Industrial Performance Report 2012/2013, titled The Industrial Competitiveness of Nations: Looking back, forging ahead, was launched last week at the National Research University-Higher School of Economics in Moscow. The launch was attended by a large audience representing policymaking bodies and the Russian capital’s academic and business communities, and received extensive coverage in the Russian media.  

The report discusses the concept of competitiveness and industrial performance, and presents statistical data for the composite and eight base-indicators. The competitive industrial performance (CIP) index benchmarks countries’ ability to produce and export manufactured goods competitively, indicates whether structural change towards high value added technology intensive industrial sectors has taken place, and shows the impact of a country’s industrial production on the world market.

Japan ranked first in competitive industrial performance, followed by Germany and the United States. Among other major industrialized economies, the Republic of Korea ranked fourth, France tenth, Italy 11th, the United Kingdom 14th and Canada 17th. 

Among the BRICS countries, China made a significant gain in the CIP index ranking and climbed to seventh from 23rd in 2000. Brazil stood in 33rd position, followed by Russia 36th and South Africa 41st. Despite the lowest ranked of the BRICS, India has significantly improved its position and now ranks 43rd in competitive industrial performance.

Among the developing countries that improved their relative position in industrial performance were Indonesia, which moved to 38th position from 41st in 2005, Viet Nam, up to 54th position from 64th, Oman, up to 69th from 83rd. Although still with a low ranking, Nigeria made a significant gain, climbing to 95th position from 112th in 2005. The least developed countries continued to congregate in the bottom quartile of the ranking. 

The CIP index has once again confirmed a high degree of correlation between a country’s industrial production capabilities and the extent of its economic prosperity. The report also highlights the vast inequality that persists in industrialization process. Out of 135 countries ranked in the CIP report, 26 countries produce less than USD 100 manufacturing value added (MVA) per capita per year, compared to almost USD 8,000 MVA per capita per year of Japan, the highest ranked country.

The CIP report is expected to be an important policy advice tool for national governments and international agencies.  At the CIP report launch in Moscow, Vladimir Gutenev, First Deputy Chairman of the State Duma Committee on Industry, congratulated UNIDO for successfully releasing the CIP report as a stand-alone publication for the first time. 

The report was introduced by Shyam Upadhyaya, UNIDO Chief Statistician. Ludovico Alcorta, Director of UNIDO’s Development Policy, Statistics and Strategic Research Branch, made keynote speech on the major finding of the report. Professor Leonid Gokhberg, First Vice-Rector of the Higher School of Economics (HSE) and Director of the HSE Institute for Statistical Studies and Economics of Knowledge, highlighted the long-standing collaboration between UNIDO and the HSE in the field of research and statistics.

UNIDO promotes industrialization around the world and helps least developed countries build their capacity to produce and trade manufactured goods. 

The full report is available to download

For more information, please contact:
Shyam Upadhyaya

UNIDO Chief Statistician

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