- Volume of Production and Net Sales Decline in January 2001
Volume of production and net sales decreased by 2.4 percent and 2.4 percent, respectively in January 2001 according to the preliminary results of the Monthly Integrated Survey of Selected Industries (MISSI). Double-digit decreases in the volume of production were observed in food manufacturing, electrical machinery and wearing apparel.
- While Value of Production and Net Sales Up
Value of production and net sales in January 2001 for total manufacturing increased by 7.8 percent and 10.4 percent, respectively compared to a year ago.
Petroleum refineries, electrical machinery, non-metallic mineral products, paper & paper products, and miscellaneous manufactures led to the growth of production and net sales. The growth in the production and net sales in these sectors could be attributed mainly to the increased demand in the local and/or export markets.
- However Producer Prices Pick Up
Producer price index (PPI) increased by 10.4 percent to 159.5 in January 2001 from 144.5 in January 2000. On a month-on-month basis, there was an increase of 2.1 percent.
The gain in the overall PPI was due to the rising prices for tobacco (12.2%), wearing apparel (30.5%), pulp, paper & paperboard (15.9%), petroleum products (33.2%), glass & glass products (32.1%), iron & steel (27.3%), fabricated metals (24.5%) and electrical machinery (18.3%).
Increases in the producer prices could be attributed to higher cost of production inputs particularly of crude oil and other imported inputs aggravated by the weakening of peso and increased labor cost.
- Average Capacity Utilization Slightly Down at 77.3%
Average capacity utilization rate for January 2001 was estimated at 77.3 percent, lower by 2.7 percentage points from the 80.0 percent recorded in December 2000 and 0.3 percentage point lower than the 77.6 percent posted in January 2000. Miscellaneous Manufactures had the highest capacity utilization rate of 92.5 percent while wood and wood products posted the lowest capacity utilization rate of 60.8 percent.
- Value of Production
In January 2001, the value of production index (VaPI) of 576.2 increased by 7.8 percent from 534.7 in January 2001. Year-on year increases were observed in 12 out of 16 major sectors led by petroleum refineries, which increased by 41.4 percent (See Annex 1-A). Other sectors contributing to double-digit growths to the value of production were chemicals (13.3%), non-metallic mineral products (25.9%), basic metals (12.9%), paper and paper products (20.2%), miscellaneous manufactures (69.1%), rubber products (14.3%), furniture & fixtures (23.5%), and tobacco (31.9%).
On the other hand, there were declines in the values of production of food manufacturing (-7.7%), textile (-8.7%), wood and wood products (-6.7%), and transport equipment (-0.1%).
- Volume of Production
The volume of production index (VoPI) for total manufacturing of 140.6 percent decreased by 2.4 percent from 144.1 of January last year. Seven out of 16 sectors posted year-on-year decreases led by food manufacturing with 13.1 percent decrease. (See Annex 1-B). Other sectors that posted decreases were electrical machinery (-11.2%), wearing apparel (-22.0%), textile (-6.6%), transport equipment (-5.4%), wood and wood products (-5.8%) and basic metals (-1.9%). Slowdowns in the production in these sectors could be attributed either to lack of raw materials, reduction of manpower and labor problems which resulted to partial or temporary shutdowns in the operation of some establishments.
On the other hand, double-digit increases were observed in chemical (13.2%), non-metallic mineral products (13.0%), miscellaneous manufactures (66.2%), rubber products (12.4%), furniture & fixtures (23.5%), and tobacco (17.5%). The increases in the production output of these sectors can be attributed mainly to higher demand for the products in both domestic and export markets.
- Value of Net Sales
The value of net sales for January 2001 increased by 10.4 percent over the same month last year. Seven out of 16 major sectors exhibited growths in their value of net sales. The leading sector was petroleum refineries posting 36.3 percent growth over the same month last year (See Annex 2-A). Other sectors recording year-on-year increases were wood & wood products (66.5%), electrical machinery (15.8%), textile (11.9%), non-metallic mineral products (17.4%), paper and paper products (15.5%) and miscellaneous manufactures (45.6%).
On the other hand, sectors that showed double-digit decreases were basic metals (-14.7%), transport equipment (-18.1%), and tobacco (-29.6%).
- Volume of Net Sales
The volume of net sales for January 2001 decreased by 2.4 percent over the same month last year. Decreases were observed in 11 out of 16 sectors led by food manufacturing which declined by 8.7 percent (See Annex 2-B). Sectors that posted double-digit decreases were wearing apparel (-26.2%), basic metals (-21.9%), transport equipment (-22.4%), and tobacco (-37.2%).
On the other hand, sectors that registered growths were wood & wood products (68.0%), textile (14.4%), petroleum refineries (2.3%), non-metallic minerals (11.1%), and miscellaneous manufactures (43.0%).
- Capacity Utilization
About 23.8 percent of responding establishments operated at full capacity (90%-100%) which was higher than 17.9 percent in January 2000. Some 40.9 percent of the respondents utilized at least 80 percent of their capacity. In the same period last year, only 39.9 percent were operating at this level. Those operating below 70 percent capacity utilization accounted for 42.0 percent which was higher by 6.7 percentage points compared to 35.3 percent a year ago.
The January 2001 average capacity utilization rate was estimated at 77.3 percent, which was lower by 0.3 percentage point from 77.6 percent recorded over same last year (See Annex 3B). Of the 16 sectors, eleven sectors posted higher capacity utilization rates as compared to a year ago. Miscellaneous manufactures recorded the highest average capacity utilization rate at 92.5 percent. Other sectors with more than 80 percent rates were furniture and fixtures (89.6%), rubber products (88.3%), paper and paper products (87.7%), petroleum products (85.7%), non-metallic mineral products (83.3%), tobacco (82.9%) and electrical machinery (81.0%).
- Response Rate
These results were based on the response of 361 sample establishments, which comprised 69.4 percent of the total number of establishments covered by the survey.
ANNEX 1-A VALUE OF PRODUCTION INDEX (JANUARY 2001) GROWTH % YEAR-ON-YEAR January Decemberr GAINERS Petroleum Refineries 41.4 66.1 Chemicals 13.3 -11.9 Non-Metallic Mineral Products 25.9 30.2 Basic Metals 12.95 27.65 Paper & Paper Products 20.2 38.7 Electrical Machinery 5 50.2 Miscellaneous Manufactures 69.1 0.9 Rubber Products 14.3 -23.3 Furniture & Fixtures 23.5 16 Wearing Apparel 1.8 11.1 Tobacco 31.9 -4.9 Beverage 2.5 -0.2 LOSERS Food Manufacturing -7.7 -10.6 Textile -8.7 -1 Wood & Wood Products -6.7 6.1 Transport Equipment -0.1 -37.5 MONTH-ON-MONTH GAINERS Transport Equipment 72.3 -26.7 Rubber Products 85.5 -4.5 Chemicals 10.2 -15.4 Non-Metallic Mineral Products 15 4.4 Miscellaneous Manufactures 58.7 0.1 Furniture & Fixtures 3.4 11.2 Tobacco 1.9 2.3 LOSERS Food Manufacturing -20 12.6 Electrical Machinery -30.5 -9.5 Petroleum Refineries -13.4 2.1 Wearing Apparel -28.5 -1.2 Basic Metals -13.4 20.1 Wood & Wood Products -23.5 17.2 Beverage -15.3 39.7 Textile -2.3 3.8 Paper & Paper Products -1.7 4.1 Note: Sectors are ranked according to their contribution to the overall January 2001 growth rate. r - revised due to updating of data from late responding establishments. ANNEX 1-B VOLUME OF PRODUCTION INDEX (JANUARY 2001) GROWTH % YEAR-ON-YEAR January Decemberr GAINERS Chemical 13.2 -14.4 Petroleum Refineries 6.1 15.9 Non-Metallic Mineral 13 15.6 Miscellaneous Manufactures 66.2 8.1 Rubber Products 12.4 -23.2 Paper & Paper Products 3.7 37.4 Furniture & Fixtures 23.5 16 Beverage 2.9 -7.7 Tobacco 17.5 -4 LOSERS Food Manufacturing -13.1 -12 Electrical Machinery -11.2 22.5 Wearing Apparel -22 1.2 Textile -6.6 -20.7 Transport Equipment -5.4 -39 Wood & Wood Products -5.8 6.1 Basic Metals -1.9 29.8 MONTH-ON-MONTH GAINERS Transport Equipment 64.1 -26.4 Rubber Products 84.7 -4.5 Chemicals 14.5 -15.8 Non-Metallic Mineral 11.9 1.2 Miscellaneous Manufactures 59.1 0.1 Furniture & Fixtures 3.4 11.2 LOSERS Food Manufacturing -22.3 11.2 Electrical Machinery -31.3 -8 Wearing Apparel -32.6 -16 Petroleum Refineries -9.7 2.1 Basic Metals -25.3 17.2 Wood & Wood Products -23.5 17.2 Paper & Paper Products -7.1 3 Beverage -14.3 40.2 Textile -0.4 4.5 Tobacco -9.2 2.3 Note: Sectors are ranked according to their contribution to the overall January 2001 growth rate. r - revised due to updating of data from late responding establishments. ANNEX 2-A NET SALES VALUE (JANUARY 2001) GROWTH % YEAR-ON-YEAR January Decemberr GAINERS Petroleum Products 36.3 35.3 Wood & wood products 66.5 12.7 Electrical Machinery 15.8 25.4 Textile 11.9 22.1 Non-metallic mineral products 17.4 21.3 Paper & paper products 15.5 23.4 Miscellaneous Manufactures 45.6 -25.4 LOSERS Basic metals -14.7 39 Transport equipment -18.1 -13.5 Food Manufacturing -3 11.6 Wearing Apparel -3.7 55.7 Chemicals -2.5 3.6 Rubber products -5 -29.5 Tobacco -29.6 7.7 Furniture & Fixtures -9.3 2.4 Beverages -1.7 -1.2 MONTH-ON-MONTH GAINERS Rubber products 63.2 -23.5 Non-metallic mineral products 11.2 1.8 Miscellaneous Manufactures 58.7 -19.1 Furniture & Fixtures 12 -5.8 Transport equipment 1.5 11.3 Tobacco 2.3 14.6 LOSERS Food Manufacturing -35.5 12.6 Wearing Apparel -52.3 21.8 Basic metals -46.3 -8.8 Wood & wood products -36.8 16.2 Petroleum Products -4.6 -0.4 Textile -11.6 7.7 Beverages -21.3 46.2 Chemicals -3.8 -10.6 Paper & paper products -5.7 -1.9 Electrical Machinery -0.3 -23.1 Note: Sectors are ranked according to their contribution to the overall January 2001 growth rate. ANNEX 2-B NET SALES VOLUME (JANUARY 2001) GROWTH % YEAR-ON-YEAR January Decemberr GAINERS Wood & wood products 68 12.7 Textile 14.4 -2.3 Petroleum Products 2.3 -5.6 Non-metallic mineral products 11.1 21.3 Miscellaneous Manufactures 43 -20 LOSERS Food Manufacturing -8.7 9.8 Wearing Apparel -26.2 41.8 Basic metals -21.9 45.6 Transport equipment -22.4 -15.6 Chemicals -2.6 0.7 Electrical Machinery -2.1 2.3 Rubber products -6.5 -29.4 Tobacco -37.2 8.7 Furniture & Fixtures -9.3 2.4 Beverages -1.4 -8.5 Paper & paper products -0.4 22.2 MONTH-ON-MONTH GAINERS Rubber Products 62.5 -23.5 Non-metallic mineral products 7.6 1.7 Miscellaneous Manufactures 59.1 -19.1 Furniture & Fixtures 12 -5.8 LOSERS Food Manufacturing -37.4 11.2 Basic metals -52.7 -8.8 Wearing Apparel -55.1 3.6 Wood & wood products -36.8 16.2 Textile -9.9 8.4 Beverages -20.5 46.8 Paper & paper products -10.8 -2.9 Transport equipment -3.3 11.8 Electrical Machinery -1.3 -21.8 Petroleum Products -0.7 -0.4 Tobacco -8.9 14.6 Chemicals 0 -11 Note: Sectors are ranked according to their contribution to the overall January 2001 growth rate.
Source: National Statistics Office
Manila, Philippines
