r - revised

·  Value of Production sustains growth in November 2010

On a year-on-year basis, Value of Production Index (VaPI) for total manufacturing inched further to 8.4 percent in November 2010 from the 7.6 percent growth recorded the previous month, according to the preliminary results of the Monthly Integrated Survey of Selected Industries (MISSI). Thirteen major sectors reported increases in production value, led by textiles, with a growth of 59.8 percent. Other sectors that significantly contributed to the increase were the following: miscellaneous manufactures, wood and wood products, fabricated metal products, petroleum products, rubber and plastic products, basic metals, food manufacturing and transport equipment. Refer to Tables 1-A and 1.

VaPI, on a monthly comparison reflected an increment of 2.5 percent in November 2010. This was primarily due to the two-digit increase in value of production reported by the following: textiles (42.7%), wood and wood products (22.8%), leather products (21.9%), and tobacco products (12.1%). Refer to Tables 1-A and 1.

·  Volume of Production continues to grow in November 2010

Volume of Production Index (VoPI) on a year-on-year basis further grew to 16.8 percent in November 2010. Eleven of the 16 major sectors strongly influenced the increase in production output, namely: textiles, miscellaneous manufactures, electrical machinery, wood and wood products, basic metals, furniture and fixtures, machinery except electrical, rubber and plastic products, fabricated metal products, transport equipment and petroleum products. Refer to Tables 1-B and 2.

On a month-on-month basis, VoPI, grew at a slower rate of 2.9 percent in November 2010 from 4.0 percent recorded the previous month. This maybe attributed to a lackluster production performance of 15 major sectors. Refer to Tables 1-B and 2.

·  Value of Net Sales registers positive rate

Value of Net Sales Index (VaNSI) inched to 4.7 percent in November 2010. Major sectors with two-digit increases were observed in the following: furniture and fixtures, miscellaneous manufactures, textiles, rubber and plastic products, petroleum products, basic metals, paper and paper products, and fabricated metal products. Refer to Tables 2-A and 3.

On a monthly basis, VaNSI expanded to 3.8 percent, a turnaround from a 2.3 percent slide the previous month. Twelve of the 20 major sectors posted increases in sales, with two-digit growth noted for the following: tobacco products, furniture and fixtures, basic metals, food manufacturing and paper and paper products. Refer to Tables 2-A and 3.

·  Volume of Net Sales further accelerates

Volume of Net Sales Index (VoNSI) recorded an average annual growth of 12.9 percent in November 2010. Among the 15 major sectors exhibiting increases in sales output, eight sectors significantly contributed to the growth, namely: furniture and fixtures, miscellaneous manufactures, paper and paper products, textiles, basic metals, electrical machinery, rubber and plastic products, and chemical products. Refer to Tables 2-B and 4.

VoNSI, on a month-on-month basis, slightly went up to 4.1 percent in November 2010 from the previous month's decline of 2.0 percent. Sectors that mainly influenced the increase were the following: tobacco products (49.4%), furniture and fixtures (23.5%), paper and paper products (16.6%), basic metals (16.0%) and food manufacturing (14.1%). Refer to Tables 2-B and 4.

·  Capacity Utilization

Average capacity utilization in November 2010 for total manufacturing stood at 83.5 percent. Ten major sectors registered capacity utilization rates of 80 percent and more, namely: basic metals, food manufacturing, machinery except electrical, petroleum products, electrical machinery, non-metallic mineral products, miscellaneous manufactures, paper and paper products, chemical products, rubber and plastic products and textiles. Refer to Table 6.

The proportion of establishments that operated at full capacity (90% to 100%) was 17.4 percent in November 2010. About 60.6 percent of the establishments operated at 70% to 89% capacity while 22.0 percent of the establishments operated below 70% capacity.

·  Response Rates

The response rates for the November 2010 MISSI and PPS are 82.8 percent and 95.0 percent, respectively. Refer to Tables 7 and 8

              r-revised

·  Technical Notes

The Monthly Integrated of Selected Industries (MISSI) is one of the designated statistical activities undertaken by the National Statistics Office to provide flash indicators on the performance of growth-oriented industries in the manufacturing sector. The survey gathers monthly data on employment, compensation, production, net sales, inventories and capacity utilization.

The MISSI utilizes the Laspeyres-type method of index computation where the weights are computed from the value of production of the Census of Philippine Business and Industry (CPBI). Rebasing of data series is undertaken as soon as new CPBI are available.

For the 2010 MISSI index series with base year of 2000, the weights of the major sectors and sub-sectors were computed from the results of the 2000 CPBI for manufacturing establishments with average total employment of 20 and over.

The indicators generated from the 2010 MISSI are Value of Production Index (VaPI), Volume of Production Index (VoPI), Value of Net Sales (VaNSI), and Volume of Net Sales (VoNSI). However, the VoPI and VoNSI are derived indicators utilizing the Producer Price Index as deflator.

The industry coverage of the 2010 MISSI conforms with the amended 1994 PSIC groupings. There are 20 major sectors as shown below with 10 further disaggregated into sub-sectors.

                                            Note: * - Major sectors categorized into sub-sectors

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 November 2010 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 November 2010 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

a/ - Less than 0.1 percent increase

Sectors are ranked according to their contribution to the overall 2000-based November 2010 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 November 2010 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