BOOSTED by the news that the beginning of 2010 saw the manufacturing industry enjoy its largest increase in productivity in the last two years, many industry commentators are heralding a new dawn.

On the wave of this optimism, Monday saw the launch of EEF Manufacturing Week to promote the success of the sector and create an internationally competitive business environment for manufacturing.

Simon Howes, business development director at the Manufacturing Advisory Service in the South West, is confident there are many opportunities for the region's manufacturers, especially those willing to take advantage of the low-carbon economy and advanced manufacturing.

The South West has approximately 12,000 manufacturing businesses generating £11billion for the economy and employing nearly 300,000 people.

Since its launch the MAS-SW has helped more than 2,000 manufacturers on issues ranging from implementing low carbon practices; increasing productivity and helping companies enter new markets.

Encouragingly, the South West is leading the field when it comes to survival rates for businesses with the highest figure in the UK.

But how do manufacturers feel about their future? The South West Manufacturing Barometer, compiled by the MAS-SW, indicated that manufacturers are optimistic.

More than a third has seen a rise in enquiries compared to six months ago, while 54 per cent expect to see a further increase in sales over the next six months.

Hymid Multi-Shot Ltd, which is located in Brixham, specialises in multi-shot plastic injection moulding for the electronics, instrument and measurement, soft medical and safety sectors.

In early 2009 the company contacted MAS–SW and decided to take part in its Strategic Management Programme.

The leadership team at Hymid recognised it needed a clear strategic vision, not only to combat the changing economic climate, but also to position itself for the future.

Hymid turned to MAS-SW because of its experience and knowledge of the manufacturing sector.

Together they produced a focused strategic map and a plan which it has begun to implement.

As a result, Hymid has retained its entire experienced workforce, traded positively during the economic downturn and is now well positioned to exploit market opportunities.

Hymid's non-executive director, Colin Spencer Halsey, says: "MAS-SW understood the challenge facing our business and the programme was delivered at a pace and over a timeframe which suited the business.

"The SMP was the platform for a significant uplift in trading performance in both sales and operating margins."

While South West manufacturers are optimistic about the future, the barometer exposed a lack of awareness regarding the potential for growth.

More than three-quarters (76 per cent) of respondents said the emerging low carbon market would have no impact on their business despite the region being declared the UK's first Low Carbon Economic Area in 2009.

This represents a real challenge for the MAS-SW.

A Government commitment to make £19.5million available to the region as part of a £100million programme in marine renewables provides an investment which manufacturers can capitalise on.

The MAS-SW, funded by the South West RDA through the European Regional Development Fund, is in no doubt the next year will continue to present challenges for manufacturers.

However, many are well placed, in terms of their geography and knowledge base, to embrace emerging markets.

For more information on MAS-SW, visit www.mas.bis.gov.uk/south-west