The volume of production and net sales for total manufacturing decreased in July 1999 by 4.6 percent and 5.8 percent respectively compared to a year ago according to the preliminary results of the Monthly Integrated Survey of Selected Industries (MISSI).
At the same time, existing capacity continued to operate at lower levels. Responding establishments operating below 70 percent capacity were 43.7 percent in July 1999 compared to 37.9 percent a year ago.
Basic metals, non-metallic mineral products, petroleum, paper & paper products, furniture & fixtures, food, beverage, tobacco, textile and wearing apparel posted decreases in both production and sales. This can be attributed to the prevailing weak construction and consumer demand leading to the shutdown of some machineries and plants. On the other hand, improving domestic and export demand for rubber, transport equipment and electrical machinery brought about increases in both their production and sales.
Value of Production
In July 1999, the value of production index (VaPI) of 477.3 decreased by 0.7 percent from 480.6 in July 1998. Year-on-year decreases were observed in 10 out of 16 major sectors (See Annex 1A). Basic metals posted the biggest year-on-year VaPI decline of 47.2 percent due to the decrease in the production of iron and steel. This can be attributed to the drop in construction activities that resulted to low demand and production. Other sectors that posted double-digit decreases were wearing apparel (-16.9%), chemicals (-11.1%), non-metallic mineral products (-20.2%), and wood & wood products (-12.0%). On the other hand, petroleum products reported the highest increase of 7.5 percent. Other sectors that posted increases were rubber products (55.5%), transport equipment (18.5%), electrical machinery (4.7%), beverage (4.9%) and miscellaneous manufactures (1.7%).
Volume of Production
The volume of production index (VoPI) decreased by 4.6 percent to 135.5 from 142.0 last year. Twelve out of 16 sectors posted year-on-year decreases led by basic metals which decreased by 41.1 percent (See Annex 1B). Other sectors which contributed to the decline of the overall VoPI were chemicals (-16.1%), wearing apparel (-20.7%), petroleum products (-6.4%), non-metallic mineral products (-30.7%), textile (-11.9%), wood & wood products (-10.6%), beverage (-11.9%), paper & paper products (-6.0%), food manufacturing (-0.7%), furniture & fixtures (-11.5%), and tobacco (-1.7%).
Value of Net Sales
The value of net sales for July 1999 increased by 3.1 percent compared to last year. Six out of 16 sectors posted increases led by petroleum products which increased by 20.9 percent (See Annex 2A). Other sectors that recorded increases were transport equipment (40.7%), electrical machinery (15.9%), chemicals (14.1%), rubber products (25.4%) and wood & wood products (1.4%). On the other hand, basic metals posted the biggest decline of 31.2 percent. Other sectors that posted double-digit decreases were paper & paper products (-35.0%), and tobacco (-16.4%).
Volume of Net Sales
The volume of net sales for July 1999 posted a decrease of 5.8 percent over last year. Decreases were observed in eleven sectors led by petroleum products, which declined by 15.4 percent (See Annex 2B). The other sectors with double-digit decreases were basic metals (-22.7%), paper & paper products (-35.7%), wearing apparel (-13.5%), non-metallic mineral products (-15.4%), beverages (-20.8%), furniture & fixtures (-10.8%) and tobacco (-14.6%).
Capacity Utilization
Responding establishments operating below 70% capacity were 43.7 percent in July 1999 compared to 37.9 percent a year ago. About 15.7 percent operated at full capacity (90%-100%) compared to 18.4 percent in July 1998.
The following sectors that had decreased use of existing capacity in July 1999 were beverage, wood, chemicals and transport equipment. On the other hand, textile, basic metals, and electrical machinery showed indications of increasing capacity utilization. Capacity utilization is defined as the ratio of output to the maximum rated capacity of the plant.
Response Rate
The results are based on the responses of 443 establishments, which comprise 80.1 percent of the total samples in the survey.
ANNEX 1-A | ||
VALUE OF PRODUCTION INDEX (JULY 1999) |
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YEAR-ON-YEAR | GROWTH (%) | |
July | Juner | |
GAINERS Petroleum Products Rubber Products Transport Equipment Electrical Machinery Beverage Miscellaneous Manufactures |
7.5 55.5 18.5 4.7 4.9 1.7 |
0.8 44.2 6.3 4.3 3.8 9.9 |
LOSERS Basic Metals Wearing Apparel Chemicals Non-Metallic Mineral Products Food Manufacturing Textile Wood & Wood Products Paper & Paper Products Furniture & Fixtures Tobacco |
-47.2 -16.9 -11.1 -20.2 -1.3 -8.9 -12.0 -4.9 -9.0 -3.8 |
-42.3 15.8 -14.9 -18.2 23.8 -17.5 -25.2 -19.3 -7.8 4.3 |
MONTH-ON-MONTH |
||
GAINERS Basic Metals Petroleum Products Wood & Wood Products Textile Paper & Paper Products Transport Equipment Rubber Products Furniture & Fixtures |
22.1 2.8 11.4 6.2 7.4 4.1 5.2 6.4 |
-18.8 -0.4 -19.0 -9.5 -12.3 19.9 1.0 11.8 |
LOSERS Food Manufacturing Electrical Machinery Chemicals Wearing Apparel Non-Metallic Mineral Products Beverage Miscellaneous Manufactures Tobacco |
-11.7 |
8.0 |
r - revised due to updating of data from late responding establishments. Note: Sectors are ranked according to their contribution to the overall July 1999 growth rate. |
ANNEX 1-B | ||
VOLUME OF PRODUCTION INDEX (July 1999) |
||
YEAR-ON-YEAR | GROWTH (%) | |
July | Juner | |
GAINERS Electrical Machinery Transport Equipment Rubber Products Miscellaneous Manufactures |
5.3 13.0 32.2 2.3 |
22.9 -2.8 1.0 8.7 |
LOSERS Basic Metals Chemicals Wearing Apparel Petroleum Products Non-Metallic Mineral Products Textile Wood & Wood Products Food Manufacturing Beverage Paper & Paper Products Furniture & Fixtures Tobacco |
-41.1 -16.1 -20.7 -6.4 -30.7 -11.9 -10.6 -0.7 -11.9 -6.0 -11.5 -1.7 |
-34.2 8.2 -18.9 -6.6 -23.2 -20.9 -24.0 23.9 -11.8 -24.7 -9.8 6.4 |
MONTH-ON-MONTH |
||
GAINERS Basic Metals Wood & Wood Products Paper & Paper Products Textile Transport Equipment Rubber Products Furniture & Fixtures |
21.3 11.4 9.5 6.2 2.8 6.1 6.4 |
-23.2 -19.0 -13.9 -9.8 0.7 20.6 11.8 |
LOSERS Food Manufacturing Electrical Machinery Chemicals Wearing Apparel Non-Metallic Mineral Products Beverage Petroleum Products Tobacco Miscellaneous Manufactures |
-11.4 -14.7 -6.8 -9.6 -8.1 -12.4 -0.5 -6.1 -2.6 |
-4.4 19.0 -16.1 7.6 -10.7 -4.4 -2.7 7.8 6.3 |
r - revised due to updating of data from late responding establishments. Note: Sectors are ranked according to their contribution to the overall July 1999 growth rate. |
ANNEX 2-A | ||
NET SALES VALUE (July 1999) |
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YEAR-ON-YEAR | GROWTH (%) | |
July | Juner | |
GAINERS Petroleum Products Transport Equipment Electrical Machinery Chemicals Rubber Products Wood & Wood Products |
20.9 40.7 15.9 14.1 25.4 1.4 |
-0.9 8.6 31.7 18.3 -6.6 -7.0 |
LOSERS Basic Metals Food Manufacturing Paper & Paper Products Wearing Apparel Textile Beverage Non-Metallic Mineral Products Furniture & Fixtures Tobacco Miscellaneous Manufactures |
-31.2 -7.6 -35.0 -9.4 -5.2 -5.7 -2.2 -8.3 -16.4 -5.6 |
-37.0 9.8 -16.3 -7.8 -16.4 2.7 -6.1 -11.0 2.2 -8.3 |
MONTH-ON-MONTH |
||
GAINERS Petroleum Products Basic Metals Transport Equipment Rubber Products Non-Metallic Mineral Products Furniture & Fixtures Miscellaneous Manufactures |
17.7 16.3 18.4 13.7 3.5 4.2 0.9 |
6.2 -18.5 14.8 -8.7 -1.6 12.6 -1.9 |
LOSERS Food Manufacturing Electrical Machinery Chemicals Beverages Wood & Wood Products Paper & Paper Products Wearing Apparel Textile Tobacco |
-5.7 -6.2 -5.1 -17.0 -7.1 -4.4 -2.6 -1.9 -4.0 |
-1.8 17.8 15.7 0.4 6.9 -8.5 8.2 -4.2 -5.5 |
Note: Sectors are ranked according to their contribution to the overall July 1999 growth rate. |
ANNEX 2-B | ||
NET SALES VOLUME (July 1999) |
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YEAR-ON-YEAR | GROWTH (%) | |
July | June | |
GAINERS Electrical Machinery Transport Equipment Chemicals Wood & Wood Products Rubber Products |
16.7 34.2 7.7 3.1 6.6 |
28.2 -0.7 10.4 -5.5 -20.4 |
LOSERS Petroleum Products Basic Metals Food Manufacturing Paper & Paper Products Wearing Apparel Non-Metallic Mineral Products Beverages Textile Furniture & Fixtures Tobacco Miscellaneous Manufactures |
-15.4 -22.7 -7.1 -35.7 -13.5 -15.4 -20.8 -8.3 -10.8 -14.6 -5.0 |
-14.1 -26.4 10.0 -21.9 -12.1 -18.8 -13.1 -19.9 -13.0 4.4 -9.3 |
MONTH-ON-MONTH |
||
GAINERS Basic Metals Transport Equipment Petroleum Products Rubber Products Non-Metallic Mineral Products Furniture & Fixtures Miscellaneous Manufactures |
15.6 17.0 3.5 14.7 3.5 4.2 1.3 |
-18.2 14.6 -5.0 -8.1 -1.3 12.6 -3.4 |
LOSERS Food Manufacturing Electrical Machinery Chemicals Beverages Wood & Wood Products Wearing Apparel Paper & Paper Products Textile Tobacco |
-5.4 -6.2 -4.3 -17.5 -7.1 -2.7 -2.6 -1.9 -4.1 |
-1.0 17.0 13.3 -0.5 6.9 -0.8 -10.2 -4.5 -5.5 |
Note: Sectors are ranked according to their contribution to the overall July 1999 growth rate. |
Distribution of Key Enterprise by Capacity Utilization (In percent) |
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Capacity Utilization |
1998 | 1999 | |||||||||||
JUL | AUG | SEP | OCT | NOV | DEC | JAN | FEB | MAR | APR | MAY | JUN | JUL | |
|
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Below 50 % 50 - 59 % 60 - 69 % 70 - 79 % 80 - 89 % 90 - 100 % |
12.3 8.5 17.1 22.4 21.4 18.4 |
11.8 11.3 17.2 20.5 22.7 16.6 |
11.8 11.4 16.8 22.3 20.9 16.8 |
12.3 12.3 17.1 20.2 20.9 17.3 |
13.1 10.5 15.5 21.0 21.8 18.1 |
12.5 12.5 15.9 20.3 23.5 15.4 |
12.3 12.3 15.3 21.9 21.6 16.8 |
13.8 11.6 16.4 22.6 22.0 13.5 |
14.3 10.6 14.3 22.1 22.6 16.0 |
14.4 10.6 17.1 22.6 20.6 14.7 |
12.8 10.8 14.8 22.8 22.5 16.2 |
22.5 9.0 13.3 19.0 21.0 15.3 |
21.6 8.8 13.3 19.9 20.6 15.7 |
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Percentage Changes in Production and Net Sales of Key Enterprises: July 1998 - July 1999 |
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ITEM | JUL | AUG | SEP | OCT | NOV | DEC | JAN | FEB | MAR | APR | MAY | JUN | JUL |
Year-on-Year Change |
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Production Value Volume Net Sales Value Volume |
-0.2r -11.6r 3.3 -5.4 |
-6.8r -16.1r -12.8 -23.3 |
-1.2r -10.6r -5.1 -16.0 |
-8.4r -16.5r -21.7 -15.0 |
-18.2r -25.1r -10.7 -16.1 |
-9.0r -14.4r -5.2 -6.0 |
-4.3r -5.4r -12.2 -19.0 |
-0.9r -1.5r -11.1 -13.8 |
9.1r 6.3r -1.7 -4.9 |
8.9r 5.6r 2.1 1.4 |
8.7r 5.7r -1.3 -4.4 |
2.6r -0.9r 2.0 -3.0 |
0.7 -4.6 3.1 -5.8 |
Month-on-Month Change |
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Production Value Volume Net Sales Value Volume |
-3.5r -3.5r 4.1 4.9 |
-3.8r -3.6r -12.5 -11.3 |
5.4r 4.8r 4.1 2.5 |
-5.0r -5.3r 5.6 -1.1 |
-2.4r -3.1r 1.7 0.5 |
-5.8r -4.6r 1.9 1.5 |
4.6r 4.7r -2.7 -10.2 |
7.7r 7.0r 31.3 33.9 |
11.5r 11.2r 8.0 2.9 |
-12.1r -13.1r -6.6 -3.9 |
5.0r 4.5r 7.0 6.4 |
3.6r 2.5r 3.7 0.6 |
-6.6 -7.1 2.5 -0.3 |
r - revised due to updating of data from late responding establishments. |
Source: National Statistics Office
Manila, Philippines