r -revised

• Value of Production Index maintains positive trend
  

  Value of Production Index (VaPI) for the manufacturing industry on a year-on-year basis grew by 7.2 percent in June 2005, according to the preliminary results of the Monthly Integrated Survey of Selected Industries (MISSI). Eight (8) major sectors that posted double-digit increases were as follows: furniture and fixtures, petroleum products, transport equipment, tobacco, basic metals, textile, miscellaneous manufacture and food manufacturing.Refer to Tables 1-A and 1.

  On a monthly basis, VaPI decreased by 0.9 percent in June 2005. Sectors which significantly contributed to the decline were publishing and printing and basic metals.Refer to Tables 1-A and 1.

• Volume of Production Index (VoPI) decreases
  

  Volume of Production Index (VoPI) on a year-on-year basis dropped by 0.1 percent in June 2005. Sectors that posted double-digit decreases were the following: machinery excluding electrical, leather products, wood and wood products and publishing and printing. Refer to Tables 2 and 1-B.

  On a month-on-month basis, VoPI in June 2005 slipped by 1.2 percent. Major sectors that registered significant decreases in output were publishing and printing and basic metals. Refer to Tables 2 and 1-B.

• Value of Net Sales sustains growth
  

  Value of Net Sales in June 2005 increased by 9.6 percent compared to a year ago figure. Major sectors that significantly posted double-digit increases were the following: petroleum products, transport equipment, paper and paper products, non-metallic mineral products, basic metals, furniture and fixtures and footwear and wearing apparel. Refer to Tables 2-A and 3.

  Similarly, Value of Net Sales on a month-on-month basis climbed by 3.1 percent in June 2005. Sectors that significantly contributed to the double-digit increases were tobacco, footwear and wearing apparel, leather products, petroleum products, and miscellaneous manufactures.Refer to Tables 2-A and 3.

• Volume of Net Sales gains
  

  Volume of Net Sales on a year-on-year basis increased by a mere 0.9 percent in June 2005. Sectors that reported increased demand of its products were transport equipment, footwear and wearing apparel, paper and paper products, furniture and fixture, non-metallic mineral products and petroleum products.Refer to Tables 2-B and 4.

  Likewise, Volume of Net Sales on a monthly basis stepped up by 2.6 percent. Tobacco, footwear and wearing apparel, leather products and petroleum products were the sectors that reported double-digit increases in sales.Refer to Tables 2-B and 4.

Producer's Price Index (PPI) continues to rise

In June 2005, Producer's Price Index (PPI) for total manufacturing increased by 7.3 percent compared to a year ago figure. Sectors that reflected double-digit increases were petroleum products, tobacco, basic metals, chemical products, machinery excluding electrical and publishing and printing. Refer to Table 5.

Likewise, PPI on a monthly basis went up by 0.4 percent in June 2005. Increments were observed in eleven (11) major sectors. These are beverage, petroleum products, miscellaneous manufactures, textile, furniture and fixtures, food manufacturing, chemical products, machinery excluding electrical, leather products, electrical machinery and wood and wood products.Refer to Table 5.

•  
• Capacity Utilization
  

  Average capacity utilization in June 2005 for total manufacturing was estimated at 80.1 percent. Major sectors with more than 80% capacity utilization rates were the following: machinery excluding electrical, paper and paper products, electrical machinery, petroleum products, miscellaneous manufacture, leather products, basic metals, rubber products, chemical products and food manufacturing.Refer to Table 6..

  In June 2005, the proportion of establishments that operated at full capacity (90%-100%) was 12.5 percent. More than half or 54.1 percent of the establishments operated at 70%-89% capacity and 33.4 percent of the establishments operated below 70% capacity.

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

  Capacity Utilization	Percent Share
  Below 50 percent	5.2
  50 percent - 59 percent	9.1
  60 percent - 69 percent	19.1
  70 percent - 79 percent	19.8
  80 percent - 89 percent	34.3
  90 percent - 100 percent	12.5

• Response Rate
  

  The response rate for June 2005 is 89.1 percent, which corresponds to the retrieval of 464 sample establishments' reports.Refer to Table 7.

  Response Rates for Total Manufacturing
  (In percent)

  June 2005	May 2005           (revised)
  89.1	96.0

• 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, May 2005 - June 2005
  (1994 =100)

  Gainers	Year-on-Year Growth (percent)
  	June 2005	May 2005 (revised)
  Petroleum Products	33.9	46.5
  Food Manufacturing	12.6	7.0
  Transport Equipment	32.1	29.0
  Basic Metals	15.0	28.5
  Chemical Products	7.2	15.3
  Tobacco	21.7	23.1
  Textile	14.7	19.3
  Footwear and Wearing Apparel*	5.4	0.8
  Furniture and Fixtures	35.6	35.2
  Non-Metallic Mineral Products	5.2	14.6
  Miscellaneous Manufacture	13.5	10.8
  Paper and Paper Products	4.8	5.9
  Rubber Products	6.0	5.8
  Losers	Year-on-Year Growth (percent)
  	June 2005	May 2005 (revised)
  Electrical Machinery	-7.7	4.1
  Machinery Excluding Electrical*	-43.3	-40.1
  Wood and Wood Products	-39.0	-37.4
  Leather Products*	-45.0	-35.3
  Fabricated Metal Products*	-2.3	-7.5
  Publishing and Printing*	-3.2	13.0
  Beverage	-0.3	1.5

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

  Gainers	Month-on-Month Growth (percent)
  	June 2005	May 2005 (revised)
  Electrical Machinery	5.7	-11.7
  Paper and Paper Products	8.8	0.4
  Miscellaneous Manufacture	14.7	-4.5
  Footwear and Wearing Apparel*	3.5	11.0
  Transport Equipment	2.3	1.5
  Beverage	2.3	-8.5
  Machinery Excluding Electrical*	9.0	52.5
  Furniture and Fixtures	11.7	0.9
  Fabricated Metal Products*	3.8	-4.7
  Food Manufacturing	0.1	-5.0
  Leather Products*	8.0	21.8
  Wood and Wood Products	0.9	14.5
  Losers	Month-on-Month Growth (percent)
  	June 2005	May 2005 (revised)
  Basic Metals	-10.2	26.7
  Chemical Products	-4.1	-4.8
  Non-Metallic Mineral Products	-9.6	1.0
  Petroleum Products	-2.1	17.8
  Tobacco	-6.9	51.1
  Publishing and Printing*	-16.6	12.9
  Textile	-3.2	7.2
  Rubber Products	-0.3	1.3

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

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

  Gainers	Year-on-Year Growth (percent)
  	June 2005	May 2005 (revised)
  Transport Equipment	31.7	25.3
  Food Manufacturing	6.7	1.2
  Petroleum Products	6.0	12.6
  Footwear and Wearing Apparel*	15.2	4.3
  Textile	12.8	17.8
  Furniture and Fixtures	39.6	39.0
  Miscellaneous Manufacture	5.8	6.1
  Paper and Paper Products	2.1	3.0
  Rubber Products	5.9	5.9
  Losers	Year-on-Year Growth (percent)
  	June 2005	May 2005 (revised)
  Electrical Machinery	-7.7	4.1
  Chemical Products	-7.1	1.0
  Machinery Excluding Electrical*	-50.8	-46.7
  Wood and Wood Products	-42.1	-41.1
  Publishing and Printing*	-14.2	0.1
  Beverage	-2.5	1.4
  Tobacco	-3.1	-2.0
  Fabricated Metal Products*	-3.7	-7.5
  Leather Products*	-49.0	-40.0
  Non-Metallic Mineral Products	-1.0	5.5
  Basic Metals	-1.1	10.8

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

  Gainers	Month-on-Month Growth (percent)
  	June 2005	May 2005 (revised)
  Electrical Machinery	5.5	-11.1
  Transport Equipments	3.1	3.1
  Paper and Paper Products	9.0	1.3
  Footwear and Wearing Apparel*	3.5	10.4
  Miscellaneous Manufacture	12.9	-4.5
  Machinery Excluding Electrical*	8.8	56.4
  Furniture and Fixtures	11.2	1.8
  Fabricated Metal Products*	3.8	8.4
  Beverage	0.2	-8.5
  Leather Products*	7.8	21.8
  Wood and Wood Products	0.8	13.8
  Losers	Month-on-Month Growth (percent)
  	June 2005	May 2005 (revised)
  Basic Metals	-10.2	27.1
  Petroleum Products	-4.0	17.8
  Chemical Products	-4.4	-4.6
  Non-Metallic Mineral Products	-9.3	0.9
  Tobacco	-6.9	51.1
  Publishing and Printing*	-16.6	12.9
  Textile	-16.6	7.2
  Food Manufacturing	-0.2	-5.0
  Rubber Products	-0.3	1.2

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

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

  Gainers	Year-on-Year Growth (percent)
  	June 2005	May 2005 (revised)
  Petroleum Products	42.2	30.1
  Transport Equipment	28.3	49.7
  Basic Metals	15.3	27.8
  Non-Metallic Mineral Products	20.8	45.5
  Food Manufacturing	3.6	-2.6
  Footwear and Wearing Apparel*	11.9	-8.4
  Paper and Paper Products	23.9	20.7
  Electrical Machinery	2.4	-5.7
  Fabricated Metal Products*	8.8	8.2
  Beverage	2.0	13.4
  Furniture and Fixtures	14.8	24.4
  Miscellaneous Manufacture	7.2	-2.6
  Textile	1.6	10.4
  Rubber Products	5.2	2.2
  Losers	Year-on-Year Growth (percent)
  	June 2005	May 2005 (revised)
  Chemical Products	-5.9	7.5
  Machinery Excluding Electrical*	-44.5	-37.6
  Wood and Wood Products	-50.0	-37.9
  Tobacco	-5.1	-11.0
  Publishing and Printing*	-4.7	20.1
  Leather Products*	-28.5	-24.4

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

  Gainers	Month-on-Month Growth (percent)
  	June 2005	May 2005 (revised)
  Petroleum Products	12.4	-0.8
  Footwear and Wearing Apparel*	17.9	8.2
  Food Manufacturing	3.4	-5.1
  Electrical Machinery	4.9	-7.0
  Tobacco	18.2	0.8
  Chemical Products	1.9	-6.3
  Miscellaneous Manufacture	10.3	2.4
  Paper and Paper Products	5.6	0.5
  Machinery Excluding Electrical*	5.9	10.6
  Rubber Products	4.0	-6.8
  Leather Products*	14.1	18.8
  Transport Equipment	0.3	0.7
  Furniture and Fixtures	1.8	-3.1
  Losers	Month-on-Month Growth (percent)
  	June 2005	May 2005 (revised)
  Non-Metallic Mineral Products	-16.9	-2.4
  Beverage	-6.4	3.7
  Wood and Wood Products	-23.8	37.2
  Publishing and Printing*	-17.9	5.5
  Basic Metals	-2.2	0.9
  Fabricated Metal Products*	-6.5	2.7
  Textile	-2.2	4.1

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

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

  Gainers	Year-on-Year Growth (percent)
  	June 2005	May 2005 (revised)
  Transport Equipment	27.8	45.5
  Petroleum Products	12.6	0.0
  Footwear and Wearing Apparel*	22.4	-5.2
  Non-Metallic Mineral Products	13.7	34.0
  Paper and Paper Products	20.6	17.4
  Electrical Machinery	2.4	-5.7
  Fabricated Metal Products*	7.2	8.2
  Furniture and Fixtures	18.2	27.9
  Rubber Products	5.1	2.3
  Losers	Year-on-Year Growth (percent)
  	June 2005	May 2005 (revised)
  Chemical Products	-18.5	-5.9
  Tobacco	-24.5	-29.1
  Machinery Excluding Electrical*	-51.8	-44.5
  Wood and Wood Products	-52.5	-41.5
  Food Manufacturing	-1.8	-7.9
  Publishing and Printing*	-15.6	6.4
  Basic Metals	-0.8	10.2
  Leather Products*	-33.8	-29.8
  Beverage	-0.2	13.3
  Textile	-0.04	9.0
  Miscellaneous Manufacture	-0.1	-6.7

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

  Gainers	Month-on-Month Growth (percent)
  	June 2005	May 2005 (revised)
  Petroleum Products	10.2	-0.9
  Footwear and Wearing Apparel*	17.9	7.6
  Food Manufacturing	3.0	-5.2
  Tobacco	18.2	0.8
  Electrical Machinery	4.7	-6.4
  Chemical Products	1.5	-6.1
  Paper and Paper Products	5.8	1.3
  Miscellaneous Manufactures	8.6	2.3
  Machinery Excluding Electrical*	5.7	13.4
  Transport Equipment	1.0	2.3
  Rubber Products	4.0	-6.9
  Leather Products*	13.8	18.8
  Furniture and Fixtures	1.3	-2.3
  Losers	Month-on-Month Growth (percent)
  	June 2005	May 2005 (revised)
  Non-Metallic Mineral Products	-16.6	-2.5
  Beverage	-8.3	3.7
  Wood and Wood Products	-23.9	36.4
  Publishing and Printing*	-17.9	4.3
  Basic Metals	-2.1	1.2
  Fabricated Metal Products*	-6.5	16.7
  Textile	-2.9	4.1

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

  Sectors are ranked according to their contribution to the overall 1994-based June 2005 growth rate.

  Year-on-year growth ratesare 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