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Output rises

IN A further indication that economic recovery is back on track, a 9.5pc rise in manufacturing output was recorded in the year to the end of May.

The pharmaceutical sector showed the most significant change where production rose 25.6pc. The figures also show a solid boost to industrial output which rose 7.5pc over the same period.

A falling cost base reflecting a "decline in wages and prices across the economy is expected to place Ireland in a very favourable position to benefit from the recovery in trade flows", said Alan McQuaid, chief economist with Bloxham Stockbrokers.