A. Year-on-year Growth for March 2024
1. Value of Production Index (VaPI)
The VaPI for manufacturing registered a year-on-year decrement of 1.7 percent in March 2024 from an annual increase of 5.7 percent in February 2024. This brings the average growth rate of VaPI from January to March 2024 to 1.8 percent. In March 2023, VaPI recorded an annual increase of 9.1 percent. (Figure 2, and Tables A and 1)
The annual drop of VaPI in March 2024 from an annual increase in February 2024 was mainly attributed by the annual decline in the manufacture of food products at 7.2 percent in March 2024 from an annual increase of 1.6 percent in the previous month. The manufacture of food products contributed 22.6 percent to the downtrend of VaPI for the manufacturing section in March 2024. Out of the 22 industry divisions for the manufacturing section, manufacture of food products was the industry division with the highest weight in the computation of VaPI.
Other primary contributors to the downtrend in the annual growth rate of VaPI in March 2024 were the slower annual increases in the manufacture of computer, electronic and optical products at 7.5 percent in March 2024 from a double-digit annual increment of 16.3 percent in the previous month, and manufacture of coke and refined petroleum products at 9.4 percent from 18.3 percent annual increase in the previous month.
Furthermore, 12 out of the 19 remaining industry divisions exhibited annual decreases in their indices during the period, while the other seven industry divisions posted annual increases. The highest year-on-year increment during the period was noted in the manufacture of chemical and chemical products at 26.4 percent. (Tables C and 1)
The top three industry divisions contributing to the overall year-on-year growth of VaPI for manufacturing in March 2024 were the following:
a. Manufacture of food products;
b. Manufacture of transport equipment; and
c. Manufacture of basic metals.
The VaPI for manufacture of food products registered an annual decline of 7.2 percent during the month after exhibiting an annual increment of 1.6 percent in February 2024. In March 2023, VaPI for manufacture of food products posted an annual growth of 7.6 percent. (Figure 3, and Tables 1 and 1a)
The downtrend in the year-on-year growth rate of VaPI for manufacture of food products in March 2024 was primarily driven by the annual decrement in the manufacture of vegetable and animal oils and fats at 3.2 percent during the month from a double-digit annual increase of 26.2 percent in February 2024.
Other primary contributors to the downtrend in the year-on-year decrement of VaPI for manufacture of food products were the slower annual increase in processing and preserving of meat at 4.5 percent during the month from a double-digit annual increase of 35.3 percent in the previous month, and the faster annual decline in the processing and preserving of fruits and vegetables at 13.7 percent from an annual decrease of 0.9 percent in the previous month. (Table 3a)
2. Volume of Production Index (VoPI)
In March 2024, the VoPI for manufacturing registered an annual decline of 0.8 percent during the month after exhibiting an annual increment of 7.2 percent in February 2024. This brings the average growth rate of VoPI from January to March 2024 to 3.0 percent. In March 2023, VoPI recorded an annual increase of 6.0 percent. (Figure 2, and Tables A and 2)
The downtrend in the year-on-year growth rate of VoPI in March 2024 was primarily driven by the same top three industry divisions that contributed to the downturn in the annual growth rate of VaPI during the period. These were the following:
a. Manufacture of food products, 8.1 percent annual decline in March 2024 from an annual increment of 1.4 percent in the previous month;
b. Manufacture of computer, electronic and optical products, 5.3 percent annual increase during the period from a double-digit annual increment of 15.2 percent in the previous month; and
c. Manufacture of coke and refined petroleum products, 10.2 percent annual increase from 22.1 percent annual increment in February 2024.
Of the remaining 19 industry divisions, 12 registered year-on-year declines in March 2024. In contrast, seven industry divisions posted annual increases during the period. The highest annual growth rate was observed in manufacture of chemical and chemical products at 29.1 percent. (Tables D and 2)
The top three industry divisions contributing to the overall year-on-year growth rate of VoPI for manufacturing in March 2024 were the following:
a. Manufacture of food products;
b. Manufacture of transport equipment; and
c. Manufacture of other non-metallic mineral products.
The VoPI for manufacture of food products registered an annual decline of 8.1 percent during the month after exhibiting an annual increment of 1.4 percent in February 2024. On the contrary, VoPI for manufacture of food products recorded an annual growth of 1.9 percent in March 2023. (Figure 3, and Tables 2 and 2a)
The downtrend in the year-on-year growth rate of VoPI for manufacture of food products in March 2024 was primarily driven by the annual decrement in the manufacture of vegetable and animal oils and fats industry group at 2.3 percent during the month from its double-digit annual increase of 31.8 percent in the previous month.
Other primary contributors to the downtrend in the year-on-year decrement of VoPI for manufacture of food products were the slower annual increase noted in processing and preserving of meat at 4.6 percent in March 2024 from a double-digit annual increase of 35.1 percent in the previous month, and the faster annual decline in the other food products at 6.8 percent during the month from an annual decrease of 2.3 percent in the previous month. (Table 2a)
3. Value of Net Sales Index (VaNSI)
The VaNSI for manufacturing registered a faster year-on-year decrement of 5.0 percent in March 2024 relative to its annual decrease of 0.7 percent in February 2024. This brings the average growth rate of VaNSI from January to March 2024 to -4.1 percent. Likewise, VaNSI recorded an annual decrease of 0.2 percent in March 2023. (Figure 5, and Tables A and 3).
The faster year-on-year decline of VaNSI during the month was primarily brought about by the faster annual decline in the manufacture of food products at 7.7 percent in March 2024 from 0.5 percent annual decrement in February 2024. The manufacture of food products contributed 29.0 percent to the trend of VaNSI for the manufacturing section in March 2024.
Other main contributors to the faster annual decline of VaNSI in March 2024 were the slower annual increment in the manufacture of coke and refined petroleum products at 9.8 percent in March 2024 from a double-digit annual growth rate of 21.2 percent in the previous month, and the faster annual decline of manufacture of basic metals at 24.1 percent during the month from an annual decline of 14.1 percent in the previous month.
Furthermore, 9 out of the 19 remaining industry divisions exhibited annual decreases during the period, while the other 10 industry divisions posted annual increases. The highest year-on-year increment was noted in the manufacture of furniture at 17.81 percent during the period. (Tables E and 3)
The top three industry divisions contributing to the overall year-on-year growth rate of VaNSI for manufacturing in March 2024 were the following:
a. Manufacture of basic metals;
b. Manufacture of food products; and
c. Manufacture of other non-metallic mineral products.
The VaNSI for manufacture of food products registered an annual drop of 7.7 percent in March 2024. This was faster compared with its annual decline of 0.5 percent in February 2024. In March 2023, VaNSI for manufacture of food products posted an annual growth of 4.7 percent. (Figure 6, and Tables 3 and 3a)
The faster year-on-year decline of VaNSI for manufacture of food products in March 2024 was primarily driven by the annual decrement in the manufacture of vegetable and animal oils and fats at 18.1 percent during the month from an annual increase of 14.0 percent in the previous month.
Other primary contributors to the faster year-on-year decline of VaNSI for manufacture of food products were the annual decreases noted in the manufacture of grain mill products, starches and starch products industry group at 15.9 percent and in the processing and preserving of meat at 5.2 percent during the month from annual increases of 0.4 percent and 4.1 percent in the previous month, respectively. (Table 3a)
4. Volume of Net Sales Index (VoNSI)
The VoNSI for manufacturing registered a year-on-year decrement of 4.0 percent in March 2024 from an annual increase of 0.6 percent in February 2024. This brings the average growth rate of VoNSI from January to March 2024 to -3.0 percent. In March 2023, VoNSI recorded an annual decrease of 3.0 percent. (Figure 5, and Tables A and 4)
The downtrend in the annual growth rate of VoNSI in March 2024 was mainly brought about by the same top three industry divisions that contributed to the faster annual decrease of VaNSI during the period. These were the following:
a. Manufacture of food products, 8.3 percent annual decrease from 1.0 percent annual drop in the previous month;
b. Manufacture of coke and refined petroleum products, 10.6 percent annual growth rate from 25.0 percent annual increment in the past month; and
c. Manufacture of basic metals, 21.2 percent annual decrease from 11.7 percent annual decline in February 2024.
Furthermore, 9 out of the 19 remaining industry divisions exhibited annual decreases during the period, while the other 10 industry divisions posted annual increases. The highest year-on-year increment was noted in the manufacture of furniture at 19.2 percent during the period. (Tables F and 4)
The top three industry divisions contributing to the overall year-on-year growth of VoNSI for manufacturing in March 2024 were the following:
a. Manufacture of food products;
b. Manufacture of basic metals; and
c. Manufacture of other non-metallic mineral products.
The VoNSI for manufacture of food products recorded an annual drop of 8.3 percent in March 2024. This was faster compared with its annual decline of 1.0 percent in February 2024. The VoNSI for manufacture of food products also recorded an annual decrease of 1.2 percent in March 2023. (Figure 6, and Tables 4 and 4a)
The faster year-on-year decline of VoNSI for manufacture of food products in March 2024 was primarily driven by the annual decrement in the manufacture of vegetable and animal oils and fats at 17.4 percent during the month from an annual increase of 19.0 percent in the previous month.
Other primary contributors to the faster year-on-year decrement of VoNSI for manufacture of food products were the faster annual decline in the manufacture of grain mill products, starches and starch products industry group at 16.2 percent in March 2024 from 0.8 percent annual decrement in February 2024, and the annual decrease in the processing and preserving of meat at 5.2 percent during the month from an annual increase of 3.9 percent in the previous month. (Table 4a)
B. Average Capacity Utilization Rate
Based on responding establishments, the average capacity utilization rate for the manufacturing section in March 2024 was reported at 75.3 percent from 75.1 percent in the previous month. In March 2023, the average capacity utilization rate was recorded at 73.6 percent.
All industry divisions reported capacity utilization rates of more than 60.0 percent during the month. The top three industry divisions in terms of reported capacity utilization rate were manufacture of machinery and equipment except electrical (83.9%), manufacture of other non-metallic mineral products (80.9%), and manufacture of rubber and plastic products (80.5%). (Table 6)
The proportion of establishments that operated at full capacity (90% to 100%) was 28.5 percent of the total number of responding establishments. Meanwhile, 41.4 percent operated at 70 to 89 percent capacity, and 30.1 percent operated below 70 percent capacity. (Table B)
CLAIRE DENNIS S. MAPA, PhD
Undersecretary
National Statistician and Civil Registrar General
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