French manufacturing growth eased in July -PMI
PARIS, Aug 2 (Reuters) - Growth in French manufacturing activity slowed slightly in July, according to a monthly survey, partly due to backlogs of work building up due to disruptions in supplies of materials.
Data compiler IHS Markit said its final purchasing managers' index for July fell to 58.0 points from 59.0 in June - slightly below a flash forecast for a July figure of 58.1 points.
The index nevertheless remained well above the 50-point line dividing expansions in activity from contractions.
"France has now enjoyed an unchecked period of production growth that began in February, but the survey raises a number of things to remain wary over," said IHS Markit senior economist Joe Hayes.
"While strong demand is keeping order books healthy, building up backlogs of work and encouraging recruitment, firms are currently dealing with rapidly deteriorating supplier performance and intense input price inflation," added Hayes.
Major French business leaders warned in July of supply chain issues, caused by problems such as a global shortage of transport ships. (Reporting by Sudip Kar-Gupta; Editing by Toby Chopra)
