r -revised

• Value of Production Index (VaPI) drops

Value of Production Index (VaPI) of the manufacturing industry slipped by 0.4 percent in November 2003 compared with a year-ago figure, according to the preliminary results of the Monthly Integrated Survey of Selected Industries (MISSI). Sectors attributing to the drop were the following: leather products, tobacco, furniture and fixtures, footwear and wearing apparel, wood and wood products, transport equipment, nonmetalllic mineral products and electrical machinery (see Table 1-A).

VaPI's month-on-month performance likewise fell by 4.2 percent in November 2003 due to the double-digit decreases reported by the following sectors: furniture and fixtures, petroleum products, footwear and wearing apparel, wood and wood products and electrical machinery (see Table 1-A).

• Volume of Production Index (VoPI) continues to slide

On a year-on-year basis, Volume of Production Index (VoPI) posted a decrease of 8.0 percent in November 2003. Sectors largely contributing to the decline in production were the following: leather products, tobacco, footwear and wearing apparel, furniture and fixtures, nonmetalllic mineral products, electrical machinery, transport equipment, petroleum products and chemical products (see Table 1-B).

VoPI on a month-on-month comparison likewise dipped further by 3.6 percent in November 2003 compared to its (revised) 0.6 percent slump the previous month. Double-digit contraction were reported by the following sectors: furniture and fixtures, petroleum products, wood and wood products and footwear and wearing apparel (see Annex 1-B).

• Value of Net Sales continues to step up
  

  Value of Net Sales in November 2003 grew by 9.0 percent on a year-on-year basis. This was primarily brought about by a 148.4 percent increase in sales of basic metals, followed by other sectors which posted double-digit increases: non-metalllic mineral products, machinery excluding electrical and petroleum products (see Table 2-A).

  However, Value of Net Sales on a monthly basis declined by 2.9 percent in November 2003 from the previous month�s increase of (revised) 1.3 percent. This was due to the lower sales report of the following sectors: furniture and fixtures, publishing and printing, leather products, basic metals and miscellaneous manufactures (see Table 2-A).

  

• Net Sales Volume slips

On a year-on-year basis, Net Sales Volume went down by 0.2 percent from an increase of (revised) 0.1 percent in November 2003. Major contributors to the decrease were the following sectors: leather products, footwear and wearing apparel, tobacco, furniture and fixtures, electrical machinery and chemical products (see Table 2-B).

Moreover, Volume of Net Sales on a month-on-month basis continued its downward trend with a 2.5 percent drop in November 2003 from a decrease of (revised) 0.3 percent recorded in the previous month. The decrease was attributed to the weak sales performance of the following sectors: furniture and fixtures, publishing and printing, basic metals, leather products, miscellaneous manufactures and petroleum products (see Table 2-B).

• Producer Price Index (PPI) posts increasing rate

On a year-on-year basis, Producer Price Index (PPI) for total manufacturing exhibited an increase of 8.2 percent in November 2003. Footwear and wearing apparel led all sectors with a double-digit increment of 19.7 percent. Other sectors with double-digit increases were the following: chemical products, electrical machinery, paper and paper products, leather products, non-metalllic mineral products and petroleum products (see Table 5).

On a monthly basis, however, PPI for total manufacturing declined by 0.6 percent in November 2003. Sectors that contributed to the decrease were as follows: electrical machinery, footwear and wearing apparel, beverage, tobacco, textile and non-metalllic mineral products (see Table 5).

• Capacity Utilization

Average capacity utilization in November 2003 for total manufacturing was estimated at 78.4 percent. Six (6) sectors posted more than 80 percent capacity utilization rate, as follows: machinery excluding electrical, miscellaneous manufactures, petroleum products, paper and paper products, basic metals and electrical machinery (see Table 6).

The proportion of responding establishments that operated at full capacity (90 percent-100 percent) in November 2003 was 13.5 percent. About 51.8 percent of the responding establishments operated at 70 percent-89 percent capacity and 34.7 percent of the establishments operated below 70 percent capacity.

Distribution of Key Manufacturing Establishments
by Capacity Utilization
Total Manufacturing, November 2003
(In percent)

                                            Note: Details may not add up to 100 due to rounding.

• Response Rate

The response rate for November 2003 is 84.7 percent, which corresponds to the retrieval of 471 sample establishments' reports (see Table 7).

Response Rates for Total Manufacturing
(In percent)

• Technical Notes

Data of nonresponding 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.

TABLE 1-A. VALUE OF PRODUCTION INDEX, October - November 2003
(1994 =100)

TABLE 1-A. VALUE OF PRODUCTION INDEX, October - November 2003
(concluded)
(1994=100)

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

Sectors are ranked according to their contribution to the overall 1994-based November 2003 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, October - November 2003
(1994 = 100)

TABLE 1-B. VOLUME OF PRODUCTION INDEX, October - November 2003
(concluded)
(1994=100)

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

Sectors are ranked according to their contribution to the overall 1994-based November 2003 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, October - November 2003
(1994=100)

TABLE 2-A. VALUE OF NET SALES, October - November 2003 (concluded)
(1994=100)

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

Sectors are ranked according to their contribution to the overall 1994-based November 2003 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, October - November 2003
(1994=100)

TABLE 2-B. VOLUME OF NET SALES, October - November 2003 (concluded)
(1994=100)

Note: * - new sectors in the 1994-based series
 
1/ - Less than 0.1 percent decrease.

Sectors are ranked according to their contribution to the overall 1994-based November 2003 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.

Source:   National Statistics Office
                 Manila, Philippines