The Performance of Manufacturing Index [PMI] fell to 20.8 points, down from 35.2 in March. It was at 56.9 as recently as December.
A PMI reading above 50 indicates that manufacturing is expanding; below 50 means it is declining.
Every category was in decline. Four categories were below 22 points, including production levels, new orders, stocks of finished products and delivery of raw materials. Employment levels were also in decline and were sitting at 40.6.
Otago Southland Employers’ Association chief executive Virginia Nicholls said the record drops in numbers and proportion of positive comments - 14% - were no surprise for April, which was in Alert Level 4 until April 28.
"Food manufacturers supplying supermarkets had positive sales, along with food exporters," she said.
Exports in dairy, meat and apples were positive, and there were falls in forestry products.
Manufacturers who opened under Alert Level 4 had significant extra costs around operating safely with the revised factory-floor processes.
The construction industry was able to open only for essential services for most of April, which meant they were unable to progress most residential and commercial projects.
Mrs Nicholls said although the worst-affected businesses with a 50% drop in turnover would be pleased with the wage subsidy scheme, others would miss out.
"Our preference would have been to retain the wage subsidy with the 30% reduction in turnover."
There were significant disruptions to the global supply chain, and the government-supported flights to deliver perishable products to international markets were critical, Mrs Nicholls said.
"There is renewed interest in buying NZ-made products and services, which is heartening for local companies."
