r-revised
                                           

·  Value of Production posts positive growth in December 2010

Value of Production Index (VaPI) for total manufacturing grew at a slower rate of 6.6 percent in December 2010, according to the preliminary results of the Monthly Integrated Survey of Selected Industries (MISSI). This was mainly due to the slowdown in the growth of the food manufacturing sector. However, the major contributing sectors with significant increases in value of production were: miscellaneous manufactures (44.0%), petroleum products (24.4%), textiles (20.2%), basic metals (19.4%), fabricated metal products (15.9%), and beverages (11.2%). Refer to Tables 1-A and 1.

On a monthly basis, VaPI likewise grew further by 2.3 percent in December 2010 from the previous month's increase of 0.7 percent. The two-digit increments reported by three major sectors were sizeable enough to offset the two-digit decreases registered in production value of four industry groups. Refer to Tables 1-A and 1.

·  Volume of Production maintains its two-digit growth in December 2010

Volume of Production Index (VoPI) registered a slower annual growth of 13.3 percent in December 2010. This can be attributed mainly to the slowdown in the annual growth of food manufacturing. However, fourteen major sectors reported increases in production output, which was strongly manifested by the two-digit increase in the following: miscellaneous manufactures, electrical machinery, basic metals, textiles, machinery except electrical, petroleum products and beverages. Refer to Tables 1-B and 2.

VoPI, likewise, sustained a month-on-month growth of 1.0 percent in December 2010. This was due to the two-digit increases by three (3) major sectors led by footwear and wearing apparel (22.4%), offsetting the decreases reported by 12 major sectors. Refer to Tables 1-B and 2.

·  Value of Net Sales grows further

On a year-on-year basis, Value of Net Sales Index (VaNSI) inched further to 6.2 percent in December 2010 from the 4.5 percent growth recorded the previous month. This was attributed to the two-digit increase in sales value reported by the following: miscellaneous manufactures, textiles, leather products, transport equipment, basic metals, rubber and plastic products, beverages and food manufacturing. Refer to Tables 2-A and 3.

VaNSI, on a monthly comparison reflected an increase of 5.3 percent in December 2010. Major sectors with two-digit increases were the following: footwear and wearing apparel, beverages, transport equipment, and leather products. Refer to Tables 2-A and 3.

·  Volume of Net Sales sustains two-digit increase

Volume of Net Sales Index (VoNSI) recorded a year-on-year increment of 12.8 percent in December 2010. Among the 12 major sectors exhibiting increases in sales output, nine sectors significantly contributed to the growth, namely: miscellaneous manufactures, textiles, electrical machinery, basic metals, transport equipment, rubber and plastic products, paper and paper products, beverages and leather products. Refer to Tables 2-B and 4.

VoNSI, on a month-on-month basis, continued to gain at a slower rate of 4.0 percent in December 2010. This was accounted for by the slowdown in the month-on-month growth rate of the food manufacturing sector. Meanwhile, double-digit increases were observed in four major sectors namely: footwear and wearing apparel, beverages, transport equipment and leather products. Refer to Tables 2-B and 4.

·  Capacity Utilization

Average capacity utilization in December 2010 for total manufacturing stood at 83.5 percent. Eleven major sectors registered capacity utilization rates of 80 percent and more, namely: basic metals, food manufacturing, petroleum products, machinery except electrical, electrical machinery, non -metallic mineral products, miscellaneous manufactures, paper and paper products, chemical products, rubber and plastic products and leather products. Refer to Table 6.

The proportion of establishments that operated at full capacity (90% to 100%) was 17.7 percent in December 2010. About 60.3 percent of the establishments operated at 70% to 89% capacity while 22.0 percent of the establishments operated below 70% capacity.

·  Response Rates

The response rates for the December 2010 MISSI and PPS are 82.8 percent and 91.0 percent, respectively. Refer to Tables 7 and 8

                                       r-revised

·  Technical Notes

The Monthly Integrated of Selected Industries (MISSI) is one of the designated statistical activities undertaken by the National Statistics Office to provide flash indicators on the performance of growth-oriented industries in the manufacturing sector. The survey gathers monthly data on employment, compensation, production, net sales, inventories and capacity utilization.

The MISSI utilizes the Laspeyres-type method of index computation where the weights are computed from the value of production of the Census of Philippine Business and Industry (CPBI). Rebasing of data series is undertaken as soon as new CPBI are available.

For the 2010 MISSI index series with base year of 2000, the weights of the major sectors and sub-sectors were computed from the results of the 2000 CPBI for manufacturing establishments with average total employment of 20 and over.

The indicators generated from the 2010 MISSI are Value of Production Index (VaPI), Volume of Production Index (VoPI), Value of Net Sales (VaNSI), and Volume of Net Sales (VoNSI). However, the VoPI and VoNSI are derived indicators utilizing the Producer Price Index as deflator.

The industry coverage of the 2010 MISSI conforms with the amended 1994 PSIC groupings. There are 20 major sectors as shown below with 10 further disaggregated into sub-sectors.

                                            Note: * - Major sectors categorized into sub-sectors

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 sector in the 2000-based series

Sectors are ranked according to their contribution to the overall 2000-based December 2010 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 sector in the 2000-based series

Sectors are ranked according to their contribution to the overall 2000-based December 2010 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 sector in the 2000-based series

a/ - Less than 0.1 percent increase

Sectors are ranked according to their contribution to the overall 2000-based December 2010 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 sector in the 2000-based series

Sectors are ranked according to their contribution to the overall 2000-based December 2010 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