r-revised

·  Value of Production recovers in April 2008

Value of Production Index (VaPI) for the manufacturing industry expanded by 7.3 percent in April 2008 after contracting by 5.0 percent in March, according to the preliminary results of the Monthly Integrated Survey of Selected Industries (MISSI). Footwear and wearing apparel led April's overall expansion with a year-on-year growth of 45.0 percent. Other major sectors that posted double-digit increases in production value were the following: basic metals, leather products, beverages, wood and wood products, rubber and plastic products, food manufacturing, non-metallic mineral products, and tobacco products. Refer to Tables 1-A and 7.

Moreover, VaPI, on a month-on-month basis, continued its steady rise by posting a 6.6 percent increase in April 2008. This was mainly due to the increases in production value of petroleum products, tobacco products, and non-metallic mineral products. Refer to Tables 1-A and 7.

·  Volume of Production expands in April 2008

Volume of Production Index (VoPI), on a year-on-year basis, improved by 5.2 percent in April 2008, a turnaround from March's 6.1 percent fall. Nine (9) of the 20 major sectors reported two-digit increments in production output, as follows: footwear and wearing apparel, leather products, beverages, wood and wood products, non-metallic mineral products, rubber and plastic products, tobacco products, food manufacturing, and basic metals. Refer to Tables 1-B and 8.

Likewise, VoPI reflected a monthly growth of 5.5 percent in April 2008. This was due to the two-digit increases in production output observed in tobacco products, petroleum products, and non-metallic mineral products. Refer to Tables 1-B and 8.

·  Value of Net Sales strengthens in April 2008

Value of Net Sales Index (VaNSI), on a yearly comparison, went up by 8.4 percent in April 2008. The improved sales of basic metals contributed largely to the increase with 51.4 percent. Other major sectors that exhibited two-digit increases were observed in the following: non-metallic mineral products, tobacco products, beverages, food manufacturing, transport equipment, leather products, wood and wood products, and petroleum products. Refer to Tables 2-A and 9.

However, on a monthly comparison, VaNSI contracted by 2.0 percent in April 2008. This was due to the two-digit decline in sales performance of petroleum products and footwear and wearing apparel. Refer to Tables 2-A and 9.

·  Volume of Net Sales increases in April 2008

Volume of Net Sales Index (VoNSI), on a year-on-year basis, rose by 7.1 percent in April 2008 after posting a decline of 1.4 percent in March. This maybe attributed to the double-digit increases in sales volume reported by the following major sectors: non-metallic mineral products, basic metals, tobacco products, furniture and fixtures, transport equipment, beverages, leather products, wood and wood products, and footwear and wearing apparel. Refer to Tables 2-B and 10.

In contrast, VoNSI, on a month-on-month basis, dropped by 3.0 percent in April 2008. Major sources of decrease were observed in petroleum products and footwear and wearing apparel. Refer to Tables 2-B and 10.

·  Capacity Utilization

Average capacity utilization in April 2008 for total manufacturing was estimated at 80.7 percent. Ten (10) major sectors that registered more than 80% capacity utilization rates were the following: basic metals, food manufacturing, footwear and wearing apparel, petroleum products, paper and paper products, miscellaneous manufactures, leather products, chemical products (excluding plastic products), electrical machinery, and rubber and plastic products. Refer to Table 6.

The proportion of establishments that operated at full capacity (90% to 100%) was 9.9 percent in April 2008. More than half or 58.9 percent of the establishments operated at 70% to 89% capacity while 31.2 percent of the establishments operated below 70% capacity.

·  Response Rates

The response rates for the April 2008 MISSI and PPS are 87.3 percent and 93.9 percent, respectively. Refer to Tables 12 and 13.

                                                       r-revised

·  Technical Notes

The 1994 based MISSI indices and the PPI will have the December 2007 data as the last of the series. Only the 2000 based series will be continued in 2008.

Starting with the February 2008 issue, a revised industry disaggregation of the MISSI indices and PPI will be adopted to conform to the 1994 PSIC groupings. Rubber and Plastic Products is a new major sector, consisting of two subsectors, namely: Rubber Products and Plastic Products. Rubber Products was previously a major sector while Plastic Products was one of the sub-sectors of Chemical Products.

With previously seven (7) subsectors, the major sector of Chemical Products has now six (6) subsectors, namely: Basic Chemical and Industrial Gases, Fertilizers, Paints, Drugs and Medicines, Cosmetics and Toilet Preparations, and Miscellaneous Chemicals.

The major sector of Machinery except Electrical has been split into two subsectors, namely: Machinery and Equipment, n.e.c. and Office, Accounting and Computing Machinery.

The corresponding weights of the above major sectors and sub-sectors have been recomputed to allow for the revised computation of the indices.

Thus, beginning this issue, the VaPI, VoPI, VaNSI, VoNSI and the revised PPI for Total Manufacturing for all months of 2008 are computed based on the revised industry disaggregation.

Starting 2008, weights for the PPI and Capacity Utilization Rates are based from the results of the 2005 Annual Survey of Philippine Business and Industry for manufacturing establishments with average total employment of 20 and over.

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.
 

Notes: * - new sectors in the 2000-based series

Sectors are ranked according to their contribution to the overall 2000-based April 2008 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.

Notes * - new sectors in the 2000-based series

Sectors are ranked according to their contribution to the overall 2000-based April 2008 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.

Note: * - new sectors in the 2000-based series

Sectors are ranked according to their contribution to the overall 2000-based April 2008 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.

Note: * - new sectors in the 2000-based series

Sectors are ranked according to their contribution to the overall 2000-based April 2008 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