r-revised
                                           

·  Value of Production continues to grow at a slower rate in October 2010

Value of Production Index (VaPI) for total manufacturing sustained a year-on-year growth as it posted 8.7 percent in October 2010, according to the preliminary results of the Monthly Integrated Survey of Selected Industries (MISSI). This was accounted for by 14 major sectors with two-digit increases in production value led by miscellaneous manufactures with 41.3 percent growth. Other sectors which exhibited two-digit growth were: publishing and printing, paper and paper products, textiles, fabricated metal products, beverages, transport equipment, petroleum products and food manufacturing. Refer to Tables 1-A and 1.

On a monthly basis, VaPI climbed 4.6 percent in October 2010 from the previous month's slid of 1.3 percent. Major sectors that significantly contributed to the increase were miscellaneous manufactures (18.3%) and petroleum products (11.5%). Refer to Tables 1-A and 1.

·  Volume of Production remains at two-digit growth

On a year-on-year basis, Volume of Production Index (VoPI) continued to experience a two-digit increment registering at 16.3 percent in October 2010. Fifteen of the 20 major sectors posted increases in production output, with two-digit growth noted for the following: miscellaneous manufactures, paper and paper products, publishing and printing, machinery except electrical, electrical machinery, textiles, transport equipment, basic metals, beverages, and food manufacturing. Refer to Tables 1-B and 2.

VoPI, on a month-on-month basis, grew by 5.2 percent in October 2010 from its previous month's drop of 0.7 percent. This was primarily due to the expanded production performance of 13 major sectors led by miscellaneous manufactures, with two-digit growth of 20.1 percent. Refer to Tables 1-B and 2.

·  Value of Net Sales grows in October 2010

Value of Net Sales Index (VaNSI) maintained a positive growth rate registering at 5.7 percent in October 2010. Among the 11 major sectors exhibiting increases in sales, five sectors significantly contributed to the growth, namely: miscellaneous manufactures, electrical machinery, textiles, fabricated metal products and basic metals. Refer to Tables 2-A and 3.

On a monthly basis, however, VaNSI slipped 0.6 percent from a positive growth of 1.9 percent in September 2010. This was due to the decreases by nine (9) major sectors, offsetting the increases reported by 11 major sectors. Refer to Tables 2-A and 3.

·  Volume of Net Sales posts two-digit positive rate

Volume of Net Sales Index (VoNSI) recorded a year-on-year increment of 13.1 percent in October 2010. This was accounted for by 10 major sectors with two-digit increment in sales output led by electrical machinery (35.5%) and miscellaneous manufactures (32.9%). Other sectors that exhibited two-digit growths were: machinery except electrical, basic metals, textiles and chemical products. Refer to Tables 2-B and 4.

On a month-on-month comparison, VoNSI slightly went down by 0.1 percent in October 2010 from the previous month's positive increase of 2.5 percent. This was brought about by the reduction in factory output observed in 10 major sectors with two-digit decrease of 10.6 percent in beverages. Refer to Tables 2-B and 4.

·  Capacity Utilization

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

The proportion of establishments that operated at full capacity (90% to 100%) was 16.6 percent in October 2010. About 60.8 percent of the establishments operated at 70% to 89% capacity while 22.5 percent of the establishments operated below 70% capacity.

·  Response Rates

The response rates for the October 2010 MISSI and PPS are 85.8 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 October 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 October 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 October 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 October 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