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This article studies the productivity in the manufacturing industry of the North West Province. Estimates of the Cobb-Douglas production function for the province's manufacturing industry are utilised and then applied to the industry's cost structure to determine whether the factors of production are optimally allocated. It was found that the levels of labour productivity are continuously declining. Higher gains in output could have been achieved if expenditure on production factors weredoi:10.4102/sajip.v28i1.30 fatcat:sunwj777nbhrhmbd3ypqrjpwjy