Lithuanian industry continues to demonstrate impressive resilience to deteriorating economic conditions. Last year manufacturing industry (excluding oil products) created production volumes increased by 12 percent, and during the first 7 months of this year, despite the difficult external conditions, the sector grew by 9 percent, compared with the corresponding period of 2011 year. Annual growth indicator in August was again spectacular - 13.7 percent.
Better than might have been expected industry performance is partly due to the reorientation of the internal market. Since 2007 year in foreign countries have been captured better sales growth rates than in Lithuania. That is why the export part in the structure of income rose from 52 percent in 2006 year to 61 percent last year. This year, however, Lithuania, demonstrating one of the highest economic growth rates in Europe, domestic sales grew twice faster than exports. Thus, the domestic market share and revenue structure has significantly improved.
Adaptation, even small-scale, happens and on export markets. This year, more sales are accounted for Latvia and Estonia, smaller Scandinavian countries and in Germany sold basically the same production as last year, despite sluggish economic growth in this country. In general, changes in sales geography are quite modest. It shows that products manufactured in Lithuania are competitive - it remains in demand during the economic downturn.