r-revised

·  Value of Production maintains positive growth in June 2008

Value of Production Index (VaPI) for the manufacturing industry recorded a year-on-year growth of 9.3 percent in June 2008, according to the preliminary results of the Monthly Integrated Survey of Selected Industries (MISSI). Eight (8) major sectors accounted for the significant growth in production, namely: basic metals, leather products, chemical products (excluding plastic products), food manufacturing, petroleum products, beverages, footwear and wearing apparel, and rubber and plastic products. Refer to Tables 1-A and 7.

On a monthly basis, VaPI posted a slower growth of 2.4 percent in June 2008. Only three (3) major sectors exhibited two-digit increases in production values, namely: transport equipment, chemical products (excluding plastic products), and petroleum products. Refer to Tables 1-A and 7.

·  Volume of Production grows at a slower rate

Likewise, Volume of Production Index (VoPI) recorded a year-on-year growth of 5.1 percent in June 2008. Significant expansions in factory output were noted in the following major sectors: leather products, footwear and wearing apparel, chemical products (excluding plastic products), beverages, and basic metals. Refer to Tables 1-B and 8.

On a month-on-month basis, however, VoPI climbed by 0.8 percent in June 2008. The increments reported by eight (8) major sectors were not sizeable enough to offset the decreases registered in production volume by 12 industry groups. Refer to Tables 1-B and 8.

·  Value of Net Sales expands further in June 2008

Value of Net Sales Index (VaNSI), on a year-on-year basis, reflected an increment of 8.5 percent in June 2008. This maybe due to the higher sales performance of 12 major sectors, with two-digit increases reported by the following: basic metals (64.8%), petroleum products (30.5%), wood and wood products (23.6%), and leather products (19.2%). Refer to Tables 2-A and 9.

On a month-on-month comparison, VaNSI grew by 4.8 percent in June 2008. Two (2) of the 13 major sectors were significant contributors of growth, namely: basic metals and transport equipment. Refer to Tables 2-A and 9.

·  Volume of Net Sales likewise increases in June 2008

Volume of Net Sales Index (VoNSI) continued to gain as it posted a year-on-year increase of 5.2 percent in June 2008. This was due to the two-digit increases observed in three (3) major sectors, offsetting the decreases reported by twelve (12) industry groups. Refer to Tables 2-B and 10.

VoNSI, on a month-on-month basis, also grew at 3.2 percent in June 2008. Nine (9) major sectors exhibited positive growths led by by basic metals and transport equipment. Refer to Tables 2-B and 10.

·  Capacity Utilization

Average capacity utilization in June 2008 for total manufacturing was estimated at 80.9 percent. Ten (10) major sectors that registered more than 80% capacity utilization rates were the following: basic metals, petroleum products, food manufacturing, footwear and wearing apparel, leather products, paper and paper products, chemical products (excluding plastic products), miscellaneous manufactures, electrical machinery, and rubber and plastic products. Refer to Table 6.

The proportion of establishments that operated at full capacity (90% to 100%) was 10.5 percent in June 2008. More than half or 59.5 percent of the establishments operated at 70% to 89% capacity while 30.0 percent of the establishments operated below 70% capacity.

·  Response Rates

The response rates for the June 2008 MISSI and PPS are 91.3 percent and 96.4 percent, respectively. Refer to Tables 12 and 13.

                    r-revised

·  Technical Notes

The 1994 based MISSI indices and the PPI will have the December 2007 data as the last of the series. Only the 2000 based series will be continued in 2008.

Starting with the February 2008 issue, a revised industry disaggregation of the MISSI indices and PPI will be adopted to conform to the 1994 PSIC groupings. Rubber and Plastic Products is a new major sector, consisting of two subsectors, namely: Rubber Products and Plastic Products. Rubber Products was previously a major sector while Plastic Products was one of the sub-sectors of Chemical Products.

With previously seven (7) subsectors, the major sector of Chemical Products has now six (6) subsectors, namely: Basic Chemicals and Industrial Gases, Fertilizers, Paints, Drugs and Medicines, Cosmetics and Toilet Preparations, and Miscellaneous Chemicals.

The major sector of Machinery except Electrical has been split into two subsectors, namely: Machinery and Equipment, n.e.c. and Office, Accounting and Computing Machinery.

The corresponding weights of the above major sectors and sub-sectors have been recomputed to allow for the revised computation of the indices.

Thus, beginning the February issue, the VaPI, VoPI, VaNSI, VoNSI and the revised PPI for Total Manufacturing for all months of 2008 are computed based on the revised industry disaggregation.

Starting 2008, weights for the PPI and Capacity Utilization Rates are based from the results of the 2005 Annual Survey of Philippine Business and Industry for manufacturing establishments with average total employment of 20 and over.

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 June 2008 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 June 2008 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

Sectors are ranked according to their contribution to the overall 2000-based June 2008 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 June 2008 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