r-revised

• Value of Production Index posts six months double-digit growth in 2005
  

  Value of Production Index (VaPI) for the manufacturing industry on a year-on-year basis increased by 12.9 percent in December 2005 compared with the year-ago figure, according to the preliminary results of the Monthly Integrated Survey of Selected Industries (MISSI). Fabricated metal products and furniture and fixtures led other major sectors with 124.9 percent and 116.2 percent increments, respectively. Other major sectors that contributed significant increases were the following: food manufacturing, petroleum products, textiles and electrical machinery. Refer to Tables 1-A and 1.

  On a monthly basis, VaPI registered a slight growth of only 0.3 percent in December 2005. This was due to the two-digit increases reported by two (2) major sectors, which was offset by the two-digit decreases in eight (8) major sectors. Refer to Tables 1-A and 1.

• Volume of Production Index (VoPI) increases
  

  Volume of Production Index (VoPI) on a year-on-year basis recorded a slow growth of 0.1 percent in December 2005. The two-digit decreases reported by nine (9) major sectors compared to only five (5) major sectors that exhibited positive trend contributed to the sluggish performance in production. Refer to Tables 2 and 1-B.

  VoPI on a month-on-month basis slipped by 7.2 percent in December 2005 due to the double-digit decreases observed in the following sectors: leather products, electrical machinery, machinery excluding electrical, rubber products, tobacco, transport equipment, publishing and printing, non-metallic mineral products, miscellaneous manufactures and textiles.Refer to Tables 2 and 1-B.

• Value of Net Sales continues to increase
  

  Value of Net Sales continued to rise as it posted a double-digit growth of 12.8 percent in December 2005. Fabricated metal products registered the biggest increase among the major sectors with an increment of 105.4 percent. Other sectors which registered double-digit growth were the following: petroleum products, furniture and fixtures, food manufacturing, electrical machinery, basic metals and miscellaneous manufactures. Refer to Tables 2-A and 3.

  Value of Net Sales on a monthly basis also accelerated by 5.0 compared to the previous month’s (revised) decrease of 3.2 percent in November 2005. This was due to the improved sales in the following sectors: fabricated metal products, petroleum products and food manufacturing. Refer to Tables 2-A and 3.

• Volume of Net Sales also rises
  

  Volume of Net Sales on a yearly basis registered an increase of 4.0 percent in December 2005. Among the 20 major sectors, fabricated metal products led the increase with 118.0 percent, while the other major sectors which posted double-digit growth were furniture and fixtures, petroleum products, food manufacturing, paper and paper products and miscellaneous manufactures. Refer to Tables 2-B and 4.

  On a month-on-month comparison, Net Sales Volume reflected a slower rate of 0.4 percent in December 2005. Two-digit decreases were observed in six (6) major sectors, which accounted for the slow growth. Refer to Tables 2-B and 4.

Producer's Price Index (PPI) registers double-digit growth

Producer’s Price Index (PPI) for manufacturing continued to climb at 12.9 percent in December 2005. Fifteen (15) of the 20 major sectors exhibited price increases, with double-digit growth observed in the following: electrical machinery, machinery excluding electrical, publishing and printing, petroleum products, non-metallic mineral products and basic metals. Refer to Table 5.

On a month-on-month basis, PPI for the total manufacturing was up by 8.1 percent in December 2005 from a decline of 4.0 percent in the previous month. This was due primarily to the high price increase reported by electrical machinery. Refer to Table 5.

•  
• Capacity Utilization
  

  Average capacity utilization in December 2005 for total manufacturing was estimated at 80.4 percent. Sectors that registered more than 80% capacity utilization rates were the following: machinery excluding electrical, petroleum products, electrical machinery, paper and paper products, miscellaneous manufactures, basic metals, rubber products, leather products, food manufacturing, chemical products and textiles. Refer to Table 6..

  The proportion of establishments that operated at full capacity (90%-100%) was 10.9 percent in December 2005. More than half or 55.9 percent of the establishments operated at 70%-89% capacity and 33.2 percent of the establishments operated below 70% capacity.

  Distribution of Key Manufacturing Establishments by Capacity Utilization
  Total Manufacturing, December 2005
  (In percent)

  Capacity Utilization	Percent Share
  Below 50 percent	4.8
  50 percent - 59 percent	9.0
  60 percent - 69 percent	19.4
  70 percent - 79 percent	19.4
  80 percent - 89 percent	36.5
  90 percent - 100 percent	10.9

• Response Rate
  

  The response rate for December 2005 is 90.8 percent, which corresponds to the retrieval of 473 sample establishments’ reports. Refer to Table 7.

  Response Rates for Total Manufacturing
  (In percent)

  December 2005	November 2005           (revised)
  90.8	96.9

• Technical Notes
  

  Starting 2004, weights for the Producer’s Price Index (PPI) are based from the results of the 2000 Census of Philippine Business and Industry (CPBI) for establishments with average total employment (ATE) of 20 and over. Reference year for the 2000 CPBI is 1999. Refer to Press Release on Revision of 2004 PPI weights..

  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.
   

  (Sgd.) CARMELITA N. ERICTA                                                                                                     Administrator

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  TABLE 1-A. VALUE OF PRODUCTION INDEX, November 2005 - December 2005
  (1994 =100)

  Gainers	Year-on-Year Growth (percent)
  	December 2005	November 2005 (revised)
  Food Manufacturing	40.0	46.1
  Petroleum Products	35.8	50.4
  Fabricated Metal Products*	124.9	-3.9
  Electrical Machinery	17.5	9.0
  Furniture and Fixtures	116.2	24.2
  Textiles	22.7	23.5
  Chemical Products	4.0	12.6
  Non-Metallic Mineral Products	8.4	18.7
  Transport Equipment	0.5	-3.8
  Losers	Year-on-Year Growth (percent)
  	December 2005	November 2005 (revised)
  Basic Metals	-28.1	-22.1
  Footwear and Wearing Apparel*	-19.3	-6.9
  Wood and Wood Products	-65.0	-63.9
  Machinery Excluding Electrical*	-50.1	-36.3
  Tobacco	-18.7	19.8
  Publishing and Printing*	-39.2	-13.9
  Beverages	-3.8	-1.7
  Rubber Products	-14.6	15.7
  Paper and Paper Products	-3.5	3.8
  Miscellaneous Manufactures	-4.7	-3.7
  Leather Products*	-9.0	5.4

  TABLE 1-A. VALUE OF PRODUCTION INDEX, November 2005 - December 2005
  (concluded)
  (1994=100)

  Gainers	Month-on-Month Growth (percent)
  	December 2005	November 2005 (revised)
  Fabricated Metal Products*	82.8	7.4
  Petroleum Products	7.3	-0.5
  Furniture and Fixtures	80.5	6.3
  Footwear and Wearing Apparel*	9.8	-9.2
  Beverages	5.2	2.3
  Electrical Machinery	2.0	-9.3
  Losers	Month-on-Month Growth (percent)
  	December 2005	November 2005 (revised)
  Transport Equipment	-16.9	-3.1
  Food Manufacturing	-3.5	-0.7
  Tobacco	-16.2	9.5
  Basic Metals	-7.2	-1.9
  Chemical Products	-3.5	-9.9
  Machinery Excluding Electrical*	-28.2	-7.1
  Textiles	-10.6	6.3
  Non-Metallic Mineral Products	-8.5	-0.6
  Rubber Products	-27.3	6.0
  Publishing and Printing*	-14.4	15.1
  Miscellaneous Manufactures	-11.5	-12.2
  Paper and Paper Products	-5.3	7.3
  Wood and Wood Products	-9.1	18.7
  Leather Products*	-44.8	0.0

  
  Note: * - new sectors in the 1994-based series

  Sectors are ranked according to their contribution to the overall 1994-based December 2005 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, November 2005 - December 2005
  (1994 = 100)

  Gainers	Year-on-Year Growth (percent)
  	December 2005	November 2005 (revised)
  Food Manufacturing	34.7	40.7
  Fabricated Metal Products*	138.7	2.0
  Petroleum Products	15.8	29.1
  Furniture and Fixtures	129.5	30.4
  Textiles	20.0	20.8
  Chemical Products	4.8	6.4
  Paper and Paper Products	3.4	8.9
  Transport Equipment	0.5	-4.9
  Losers	Year-on-Year Growth (percent)
  	December 2005	November 2005 (revised)
  Basic Metals	-35.2	-30.5
  Electrical Machinery	-14.8	20.9
  Machinery Excluding Electrical*	-62.7	-52.4
  Tobacco	-24.6	11.2
  Wood and Wood Products	-65.3	-64.7
  Publishing and Printing*	-48.3	-26.8
  Footwear and Wearing Apparel*	-10.3	4.4
  Beverages	-8.1	-6.2
  Non-Metallic Mineral Products	-6.4	11.1
  Rubber Products	-15.4	14.6
  Miscellaneous Manufactures	-6.5	-6.5
  Leather Products*	-16.1	-2.9

  TABLE 1-B. VOLUME OF PRODUCTION INDEX, November 2005 - December 2005
  (concluded)
  (1994=100)

  Gainers	Month-on-Month Growth (percent)
  	December 2005	November 2005 (revised)
  Fabricated Metal Products*	82.8	7.4
  Petroleum Products	7.4	9.4
  Furniture and Fixtures	81.6	7.8
  Footwear and Wearing Apparel*	7.4	-10.1
  Beverages	5.2	2.3
  Losers	Month-on-Month Growth (percent)
  	December 2005	November 2005 (revised)
  Electrical Machinery	-33.0	7.0
  Transport Equipments	-15.9	-2.2
  Food Manufacturing	-3.6	-1.1
  Tobacco	-16.2	9.5
  Non-Metallic Mineral Products	-14.3	-1.3
  Basic Metals	-7.2	-1.9
  Chemical Products	-3.4	-9.6
  Machinery Excluding Electrical*	-28.1	-5.0
  Textiles	-10.5	6.4
  Rubber Products	-27.3	6.0
  Publishing and Printing*	-14.4	15.1
  Miscellaneous Manufactures	-10.9	-10.9
  Paper and Paper Products	-5.0	7.6
  Wood and Wood Products	-9.2	18.5
  Leather Products*	-44.8	0.0

  
  Note: * - new sectors in the 1994-based series

  Sectors are ranked according to their contribution to the overall 1994-based December 2005 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, November 2005 - December 2005
  (1994=100)

  Gainers	Year-on-Year Growth (percent)
  	December 2005	November 2005 (revised)
  Petroleum Products	42.4	34.6
  Food Manufacturing	24.9	12.6
  Electrical Machinery	22.0	2.0
  Fabricated Metal Products*	105.4	2.9
  Basic Metals	14.9	5.6
  Chemical Products	3.7	22.7
  Furniture and Fixtures	33.9	45.2
  Non-Metallic Mineral Products	5.9	10.6
  Miscellaneous Manufactures	12.1	0.8
  Paper and Paper Products	4.8	-4.6
  Losers	Year-on-Year Growth (percent)
  	December 2005	November 2005 (revised)
  Tobacco	-34.7	10.9
  Beverages	-14.6	5.3
  Wood and Wood Products	-61.3	-63.2
  Machinery Excluding Electrical*	-44.8	-33.1
  Textiles	-15.3	-22.6
  Publishing and Printing*	-36.2	-17.8
  Footwear and Wearing Apparel*	-4.9	10.1
  Transport Equipment	-2.1	-0.1
  Rubber Products	-5.4	-11.2
  Leather Products*	-10.6	4.2

  TABLE 2-A. VALUE OF NET SALES, November 2005 - December 2005 (concluded)
  (1994=100)

  Gainers	Month-on-Month Growth (percent)
  	December 2005	November 2005 (revised)
  Food Manufacturing	11.4	-2.4
  Petroleum Products	16.8	-4.2
  Fabricated Metal Products*	72.9	10.3
  Electrical Machinery	5.4	-6.3
  Basic Metals	8.0	-2.7
  Paper and Paper Products	0.5	-3.4
  Losers	Month-on-Month Growth (percent)
  	December 2005	November 2005 (revised)
  Machinery Excluding Electrical*	-29.5	-6.5
  Footwear and Wearing Apparel*	-8.3	2.8
  Non-Metallic Mineral Products	-6.9	-2.0
  Beverages	-4.3	-1.5
  Publishing and Printing*	-12.5	6.9
  Transport Equipment	-2.7	-10.5
  Textiles	-4.8	-13.1
  Wood and Wood Products	-9.8	11.8
  Miscellaneous Manufactures	-6.1	-6.4
  Chemical Products	-0.6	-3.8
  Leather Products*	-34.3	-15.5
  Rubber Products	-4.5	-20.6
  Furniture and Fixtures	-0.6	-2.5
  Tobacco	-0.1	11.2

  
  Note: * - new sectors in the 1994-based series

  Sectors are ranked according to their contribution to the overall 1994-based December 2005 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, November 2005 - December 2005
  (1994=100)

  Gainers	Year-on-Year Growth (percent)
  	December 2005	November 2005 (revised)
  Food Manufacturing	20.2	8.5
  Petroleum Products	21.4	15.6
  Fabricated Metal Products*	118.0	9.2
  Chemical Products	4.5	15.9
  Furniture and Fixtures	42.2	52.4
  Footwear and Wearing Apparel*	5.8	23.5
  Paper and Paper Products	12.3	0.1
  Basic Metals	3.6	-5.7
  Miscellaneous Manufactures	10.0	-2.2
  Losers	Year-on-Year Growth (percent)
  	December 2005	November 2005 (revised)
  Electrical Machinery	-11.6	13.1
  Tobacco	-39.4	2.9
  Beverages	-18.4	0.5
  Machinery Excluding Electrical*	-58.8	-50.0
  Wood and Wood Products	-61.6	-64.1
  Publishing and Printing*	-45.8	-30.1
  Textiles	-17.1	-24.2
  Non-Metallic Mineral Products	-8.5	3.5
  Transport Equipment	-2.1	-1.2
  Rubber Products	-6.3	-12.1
  Leather Products*	-17.7	-4.0

  TABLE 2-B. VOLUME OF NET SALES, November 2005 - December 2005 (concluded)
  (1994=100)

  Gainers	Month-on-Month Growth (percent)
  	December 2005	November 2005 (revised)
  Petroleum Products	17.0	5.4
  Food Manufacturing	11.2	-2.8
  Fabricated Metal Products*	72.9	10.3
  Basic Metals	8.0	-2.7
  Paper and Paper Products	0.9	-3.2
  Furniture and Fixtures	0.0	-1.1
  Losers	Month-on-Month Growth (percent)
  	December 2005	November 2005 (revised)
  Electrical Machinery	-30.8	10.6
  Footwear and Wearing Apparel*	-10.3	1.8
  Non-Metallic Mineral Products	-12.8	-2.7
  Machinery Excluding Electrical*	-29.5	-4.5
  Beverages	-4.3	-1.5
  Publishing and Printing*	-12.5	6.9
  Textiles	-4.7	-12.9
  Wood and Wood Products	-9.9	11.7
  Transport Equipment	-1.5	-9.7
  Miscellaneous Manufactures	-5.5	-5.1
  Chemical Products	-0.5	-3.5
  Leather Products*	-34.3	-15.5
  Rubber Products	-4.5	-20.6
  Tobacco	-0.1	11.2

  
  Note: * - new sectors in the 1994-based series

  Sectors are ranked according to their contribution to the overall 1994-based December 2005 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.

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  Source:   National Statistics Office
                   Manila, Philippines