A recent survey conducted by the CBI employers' group has uncovered that the export growth is assisting to boost the prospects of smaller manufacturers; however, profit margins are being squeezed on account of surging commodity and raw material prices.

"With demand expected to grow in the coming months, manufacturers are thinking about taking on extra staff over the next three months", quoted, Russel Griggs, Chairman of the CBI's Council of Mall and Medium-Sized Enterprises. But access to credit remained a problem for some companies.

In addition, the survey revealed that the Sterling's weakness is finally fueling into higher export orders, while domestic demand and production have showed signs of stabilizing and companies seem to be more upbeat about prospects.

The survey posted that access to credit continue to pose as a tough challenge for small firms with 12pc citing credit or finance constraints susceptible to inhibit export orders, while, a further 7pc revealing that this could hamper the output.

Nearly 14pc of firms have posed to be more positive related to general business prospects compared to three months ago, the highest quarterly balance since April 2004.

The current data unveils that the volume of domestic orders is also recuperating, with almost 31 per cent of companies posting a jump, while 28 per cent a fall.