r -revised

·  Value of Production Index (VaPI) expands 

Value of Production Index (VaPI) of the manufacturing industry exhibited a 9.0 percent growth in April 2003 compared with year-ago figure, according to the preliminary results of the Monthly Integrated Survey of Selected Industries (MISSI). Significant increases were observed in the following sectors: wood and wood products, basic metals, leather products, petroleum products, footwear and wearing apparel, miscellaneous manufactures, machinery excluding electrical, rubber products, chemical products and paper and paper products(see Table 1-A).

Compared to the previous month, however, VaPI reported a slump of 6.7 percent in April 2003. The following sectors that contributed to the decline were: transport equipment, furniture and fixtures, tobacco, food manufacturing, textile, fabricated metal products and electrical machinery (see Table 1-A).

·  Volume of Production Index (VoPI) registers slight gain

Volume of Production Index (VoPI) in April 2003 posted a 2.0 percent growth on a year-on-year basis. The modest increase in production could be attributed to wood and wood productswhich expanded by 111.3 percent, followed by other sectors which also posted double-digit increases, namely: basic metals, leather products, machinery excluding electrical, miscellaneous manufactures, rubber products and non-metallic mineral products (see Table 1-B).

On the contrary, VoPI fell by 4.6 percent on a month-on-month basis from the previous month's 11.7 percent growth. This was brought about by the sluggish performance of the following sectors:transport equipment, furniture and fixtures, tobacco, textile, food manufacturing andfabricated metal products(see Annex 1-B).

·  Value of Net Sales posts lower growth

Value of Net Sales grew at a slower rate of 5.0 percent compared with the previous month's (revised) year-on-year increase of 28.0 percent. Leather products registered the highest growth rate of 86.6 percent followed by other sectors that also posted double-digit increases, namely:machinery excluding electrical, footwear and wearing apparel, petroleum products, publishing and printing, chemical products, rubber products and wood and wood products (see Table 2-A).

However, Value of Net Sales showed a month-on-month downswing of 14.9 percent from a (revised) 19.8 percent increase in March 2003. Sectors attributing to the decline were electrical machinery, basic metals, furniture and fixtures, transport equipment, textile, wood and wood products, paper and paper products, chemical products, food manufacturing andnon-metallic mineral products (see Table 2-A).

·  Net Sales Volume falls

On a year-on-year basis, Volume of Net Sales tumbled by 4.2 percent in April 2003. Sectors that largely contributed to the decline were the following: tobacco, electrical machinery, basic metals, and paper and paper products(see Table 2-B).

On a monthly basis, Net Sales Volume made a turnaround as it went down by 13.3 percent in April 2003 from the previous months (revised) increase of 19.1 percent. Major contributors to the slide were the following sectors: electrical machinery, basic metals, furniture and fixtures, transport equipment, textile, wood and wood products, chemical products, paper and paper products, food manufacturing and non-metallic mineral products (see Table 2-B).

·  Producer's Price Index (PPI) continues to accelerate

Producer�s Price Index (PPI) for total manufacturing exhibited a year-on-year growth rate of 6.9 percent in April 2003. Sectors that posted double-digit increases were the following: petroleum products, footwear and wearing apparel, chemical products, paper and paper productsand leather products (see Table 5).

On the other hand, PPI on a month-on-month basis for total manufacturing registered a decline of 2.2 percent in April 2003. The top five sectors which reported decreases in PPI were: electrical machinery, footwear and wearing apparel, paper and paper products, furniture and fixtures and basic metals (see Table 5).

·  Capacity Utilization

In April 2003, average capacity utilization for total manufacturing was estimated at 77.5 percent. Sectors that posted more than 80% capacity utilization rate were the following: miscellaneous manufactures, petroleum products, machinery excluding electrical, paper and paper products and footwear and wearing apparel (see Table 6).

The proportion of responding establishments that operated at full capacity (90%-100%) in April 2003 was 19.4 percent. About 42.1 percent of the responding establishments operated at 70%-89% capacity and 38.6 percent of the establishments operated below 70% capacity.

DISTRIBUTION OF KEY MANUFACTURING ESTABLISHMENTS
BY CAPACITY UTILIZATION
TOTAL MANUFACTURING, APRIL 2003
(In percent)

                                            Note: Details may not add up to 100 due to rounding.

·  Response Rate

The response rate for April 2003 is 89.7 percent, which corresponds to the retrieval of 499 sample establishments reports (see Table 7).

RESPONSE RATES FOR TOTAL MANUFACTURING
(In percent)

·  Technical Notes

Data of non-responding sample establishments are estimated based on previous records and other available sources. Revisions to the preliminary estimates are done upon receipt of actual reports of late respondents.

TABLE 1-A. VALUE OF PRODUCTION INDEX, MARCH - APRIL 2003
(1994 =100)

TABLE 1-A. VALUE OF PRODUCTION INDEX, MARCH - APRIL 2003(concluded)
(1994=100)

Note: * - new sectors in the 1994-based series 
Sectors are ranked according to their contribution to the overall 1994-based January 2003 growth rate. 
Year-on-year growth rates are computed by dividing the current month index by previous year same month index less 1. 
Month-on-month growth rates are computed by dividing the current month index by previous month index less 1.

TABLE 1-B. VOLUME OF PRODUCTION INDEX, MARCH - APRIL 2003
(1994 = 100)

TABLE 1-B. VOLUME OF PRODUCTION INDEX, MARCH - APRIL 2003
(concluded)
(1994=100)

Note: * - new sectors in the 1994-based series 
Sectors are ranked according to their contribution to the overall 1994-based January 2003 growth rate. 
Year-on-year growth rates are computed by dividing the current month index by previous year same month index less 1. 
Month-on-month growth rates are computed by dividing the current month index by previous month index less 1.

TABLE 2-A. VALUE OF NET SALES, MARCH - APRIL 2003
(1994=100)

TABLE 2-A. VALUE OF NET SALES, MARCH - APRIL 2003 (concluded)
(1994=100)

Note: * - new sectors in the 1994-based series 
Sectors are ranked according to their contribution to the overall 1994-based January 2003 growth rate. 
Year-on-year growth rates are computed by dividing the current month value of net sales by previous year same month value of net sales less 1. 
Month-on-month growth rates are computed by dividing the current month value of net sales by previous month value of net sales less 1.

TABLE 2-B. VOLUME OF NET SALES, MARCH - APRIL 2003
(1994=100)

TABLE 2-B. VOLUME OF NET SALES, MARCH - APRIL 2003(concluded)
(1994=100)

Note: * - new sectors in the 1994-based series 
Sectors are ranked according to their contribution to the overall 1994-based January 2003 growth rate. 
Year-on-year growth rates are computed by dividing the current month volume of net sales by previous year same month volume of net sales less 1. 
Month-on-month growth rates are computed by dividing the current month volume of net sales by previous month volume of net sales less 1.

Source:   National Statistics Office
                 Manila, Philippines