The exchange rates and a strong commercial building sector improved manufacturing sales in June for Canterbury Manufacturers Association members.
An association survey found the total sales of respondents was $636 million, a 25 per cent increase compared with last year.
Domestic sales were up 30 per cent and exports grew21 per cent.
Association chief executive John Walley said the shift in exchange rates since the start of the year was having an impact and, in particular, the cross-rate with the Australian dollar.
"I think the news that the Reserve Bank of Australia has put their base rate up again will put more pressure on the cross and see exporters to Australia smiling a little bit more tonight than they were this morning," Walley said.
Net confidence among manufacturers had improved to -13 per cent in June from -42 per cent the previous month.
"Manufacturers were beginning to feel more positive about business conditions and outlook towards the end of May."
The net confidence rating was the highest since February, though manufacturers hadn't returned a positive result since January 2005.
The commercial building sector was particularly strong. Manufacturing supply into the agricultural sector was on a par with last year but was slowing.
Walley said the improved sales result could have a delayed impact on the performance index.
The association represents about 35 per cent of manufacturing employment in Christchurch.
