TORONTO, (Reuters) – Canadian manufacturing activity grew at a joint slowest pace for 11 months in January due to material shortages. Also disruptions caused Omicron coronavirus type Omicron virus variant.

The IHS Markit Canada Manufacturing Purchasing Managers’ Index (PMI) fell to a seasonally adjusted 56.2 in January from 56.5 in December, matching July last year as the lowest reading since February 2021. The sector is growing if the reading exceeds 50.

Shreeya Ptel, an IHS Markit economist, stated in a statement that COVID-19 has again suffered from poor performance and output growth is slowing.

As a result of a lack in materials and the pandemic that impacted growth, the output index was at its lowest point since June 2020. It fell to 51.5.

Canadian provincial governments just began to loosen restrictions designed to limit the Omicron variant’s spread.

Port congestions, adverse weather and restrictions caused a decline in vendor performance.

This index measures suppliers’ delivery time, which fell from 28.7 to 27.8 December to be the fifth-lowest in its 11-year history.

Positive signs were also seen of an easing of inflationary pressures. The measure of input price dropped to its lowest in 11 months and there was stronger demand.

Patel stated that Canada has a high vaccine rate which allowed growth in manufacturing to continue despite the resurgence of cases.

This story has been corrected to correct the first paragraph. It now says January, not December.