The head of the Manufacturing and Exporters Association says the strong Australian economy is helping New Zealand manufacturers that export there - but others are still feeling the effect of the downturn.
A survey by the association reports sales at the manufacturing firms it surveyed fell 3% to $452 million in January.
Exports, which make up just over a quarter of all sales, fell 32% on the same month the previous year, while domestic sales rose 15%. Staff numbers fell 13% over the year.
The association's chief executive, John Walley, says confidence has brightened after two years in the gloom, but there's still a long way to go until markets return to normal.
Mr Walley says about 50% of what the manufacturing sector exports goes to Australia and between 20% and 30% goes to Europe - still a particularly weak market.