Changes in structure and performance of the metals and machinery industry, 1958-1976

Abstract

The first Development Plan for the Maltese Islands in 1959 sought to attract foreign investment by means of government incentives, in order to change the infrastructure from one based on Military Expenditure to one based mainly on manufacturing. Subsequent development plans maintained these objectives but it became increasingly necessary to diversify the manufacturing sector since this had, by the late sixties, become increasingly dependant on textiles and especially on the production of made-up textile goods. In this diversification effort some of the accent was put on metal manufacturing and engineering activities for "the sectors most likely to provide jobs for men are metal manufacturing, engineering and associated activities. Other industrial lines which offer good potential include electrical engineering, chemicals and pharmaceuticals, rubber and leather products. These product lines involve a relatively high percentage of local value-added, are comparatively labour intensive, can call on locally available skills and markets are not difficult to find. It is the purpose of the following analysis to examine the development of the Metals and Machinery Industry and its contribution to the domestic economy during the past two decades.