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Manufacturing sales in Alberta have plunged by more than $1.2 billion in the past year, according to Statistics Canada.

The federal agency reported Tuesday that sales in the province of $5.5 billion in October were down 18.1 per cent from October 2014 when they were $6.7 billion.

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The year-over-0ver year percentage decline was the biggest in the country.

Todd Hirsch, chief economist with ATB Financial, said the sharpest impact on the drop in manufacturing continues to be the slowdown in the energy sector.

“Refined petroleum products — the single largest sub-component of Alberta’s manufacturing — dropped to $1.179 billion in October, one of the lowest levels it’s seen in a year. The falling price of oil translates into lower prices for refined products, which reduces the total value of shipments. Chemical products — another output from the oil and gas sector — fell to $972 million, a drop of $50 million from September.

“But the slumping energy sector has also taken its toll on manufactured goods that are inputs into oil and gas extraction. Machinery, primary metal manufacturing and transportation equipment — all of which are comprised largely of products used in the energy sector — posted month-over-month losses.”