INSTITUTE SEES W.GERMAN OUTPUT FALL IN 1987
  Production in the manufactured goods
  industry has been falling since mid-1986 and will decline by
  between one and two pct this year after a 2.5 pct increase in
  1986, the Ifo economic institute said.
      An Ifo report said recessionary influences were affecting
  the engineering industry particularly. It saw a decline of two
  to three pct in this sector after a 5.2 pct rise in 1986.
      Orders, especially from abroad, were also falling sharply
  for capital goods in the electronics sector, it added.
      Ifo also predicted stagnation in the automobile industry in
  1987 after a particularly successful 1986 when production rose
  5.1 pct.
      Chemical industry production, which fell by 0.9 pct last
  year, was likely to stagnate or decline by one pct in 1987.
  This sector suffered from slack demand from abroad and from low
  domestic consumption.
  

