• Value of Production Index (VaPI) slowed down in 1994 and 1985-based series

  Value of Production Index (VaPI) of the manufacturing industry in September 2001 registered single digit year-on-year increases both in 1994 and 1985-based series at 6.4 percent and 1.1 percent, respectively, according to the preliminary results of the Monthly Integrated Survey of Selected Industries (MISSI).

  YEAR-ON-YEAR GROWTH RATES OF VaPI
  TOTAL MANUFACTURING

  Series	September 2001	August 2001 (revised)
  1994-based	6.4	12.8
  1985-based	1.1	9.9

  Sectors that posted double-digit year-on-year increases in VaPI both in 1994 and 1985-based series were basic metals, petroleum products, beverages and transport equipment (see Annex 1-A).

  On a month-on-month basis, VaPI declined by 3.6 percent and 6.1 percent in 1994 and 1985-based series, respectively. Wood products and transport equipment posted double-digit decreases from the previous month�s figures.

  

  

• Volume of Production Index (VoPI) went down

  The VoPI declined by 7.3 percent and 1.1 percent in the 1994-based and 1992-based series, respectively. Double-digit decreases for both series were observed in the following sectors: tobacco, paper and paper products, rubber products and wood products (see Annex 1-B).

  YEAR-ON-YEAR GROWTH RATES OF VoPI
  TOTAL MANUFACTURING

  Series	September 2001	August 2001 (revised)
  1994-based	-7.3	-1.6
  1992-based	-1.1	7.0

  Like the VaPI, VoPI showed the same sectors that posted double-digit decreases on a month-on-month basis for both 1994 and 1985-based series. These sectors were wood products and transport equipment.

  

  

• Value of net sales also slowed down
  

  The value of net sales in September 2001 increased by 6.1 percent and 6.2 percent over the same month last year in the 1994-based and 1985-based series, respectively. Basic metals and beverages posted double-digit increases in their value of net sales in both series (see Annex 2-A).

  YEAR-ON-YEAR GROWTH RATES OF VALUE OF NET SALES
  TOTAL MANUFACTURING

  Series	September 2001	August 2001 (revised)
  1994-based	6.1	9.1
  1985-based	6.2	9.3

  

• Volume of net sales declined in the 1994-based series

  In the 1994-based series, the volume of net sales in September 2001 dipped by 1.9 percent from a positive growth of 0.3 percent during the previous month. This was due to the decline in 8 sectors led by electrical machinery and furniture & fixtures. On the other hand, volume of net sales in the 1992-based series increased by 2.4 percent due to the sustained growth of basic metals. Paper and paper products and rubber products registered double-digit decreases for both series (see Annex 2-B).

  YEAR-ON-YEAR GROWTH RATES OF VOLUME OF NET SALES
  TOTAL MANUFACTURING

  Series	September 2001	August 2001 (revised)
  1994-based	-1.9	0.3
  1992-based	2.4	4.4

  

• Producer's price index continued to post increases

  Producer�s price index (PPI) for total manufacturing increased by 14.7 percent and 2.3 percent in the 1994 and 1992-based series, respectively. Double-digit year-on-year increases for both series were observed in the following sectors: tobacco, publishing and printing, glass and glass products, cement, and fabricated metal products.

  YEAR-ON-YEAR GROWTH RATES OF PRODUCER�S PRICE INDEX
  TOTAL MANUFACTURING

  Series	September 2001	August 2001 (revised)
  1994-based	14.7	14.7
  1992-based	2.3	2.7

  

• Capacity Utilization

  The proportions of responding establishments that operated at full capacity (90%-100%) in September 2001 were 21.4 percent and 20.5 percent in the 1994 and 1985-based series, respectively. About 37.4 percent of the responding establishments operated at 70%-89% capacity in the 1994-based series, lower by 2.8 percentage points than the 1985-based series of 40.2 percent. Those operating below 70% capacity utilization accounted for 41.1 percent. This proportion is higher by 1.8 percentage than the 1985-based series.

  DISTRIBUTION OF KEY MANUFACTURING ESTABLISHMENTS
  BY CAPACITY UTILIZATION
  TOTAL MANUFACTURING, SEPTEMBER 2001
  (In percent)

  Capacity Utilization	1994-based	1985-based
  Below 50%	16.9	13.3
  50% � 59%	9.0	10.0
  60% - 69%	15.2	16.0
  70% - 79%	18.2	19.5
  80% - 89%	19.2	20.7
  90% - 100%	21.4	20.5

  Average capacity utilization rate for September 2001 for total manufacturing was estimated at 77.0 percent in the 1994-based, 0.1 percentage point lower than the 1985-based series. Of the 20 sectors, four sectors posted more than 80% capacity utilization rates. Tobacco registered the highest capacity utilization rate of 89.7% and 84.1% in the 1994 and 1985-based series, respectively (see Annex 3-A).

  AVERAGE CAPACITY UTILIZATION FOR TOTAL MANUFACTURING
  (In percent)

  Series	September 2001	August 2001 (revised)
  1994-based	77.0	78.7
  1985-based	77.1	79.4

• Response Rates (1994-based and 1985-based series)
  

  The results for September 2001 were based on the responses of 484 and 437 sample establishments for the 1994 and 1985-based series, respectively (see Table 4).

  RESPONSE RATES FOR TOTAL MANUFACTURING
  (In percent)

  Series	September 2001	August 2001 (revised)
  1994-based	83.4	91.4
  1985-based	84.2	92.7

  ANNEX 1-A

  VALUE OF PRODUCTION INDEX, SEPTEMBER 2001

  Gainers	Year-on-Year Growth (%)
  	1994-based	1985-based
  Basic Metals	41.2	18.7
  Petroleum Products	11.2	11.3
  Chemical Products	8.5	6.6
  Publishing & Printing*	56.0	n.a.
  Beverages	12.2	12.2
  Transport Equipment	10.9	17.9
  Fabricated Metal Products*	29.4	n.a.
  Machinery Excluding Electrical*	40.4	n.a.
  Non-Metallic Mineral Products	13.5	8.4
  Footwear & Wearing Apparel*	6.6	n.a.
  Textiles	1.9	2.5
  Leather Products*	17.9	n.a.
  Miscellaneous Manufacture	1.5	-1.6
  Furniture & Fixtures	0.2	2.7
  Losers	Year-on-Year Growth (%)
  	1994-based	1985-based
  Food Manufacturing	-4.6	7.7
  Electrical Machinery	-5.7	-8.6
  Paper & Paper Products	-17.13	-16.5
  Rubber Products	-23.7	-23.1
  Wood & Wood Products	-15.4	-26.1
  Tobacco	-4.3	-4.3
  Gainers	Month-on-Month Growth (%)
  	1994-based	1985-based
  Beverages	24.4	24.4
  Textiles	14.9	18.0
  Basic Metals	5.3	-0.7
  Non-Metallic Mineral Products	4.9	-0.5
  Paper & Paper Products	1.6	3.1
  Machinery Excluding Electrical*	0.7	n.a.

  ANNEX 1-A

  VALUE OF PRODUCTION INDEX, SEPTEMBER 2001(concluded)

  Losers	Month-on-Month Growth (%)
  	1994-based	1985-based
  Food Manufacturing	-8.4	-13.8
  Chemical Products	-9.8	-2.8
  Transport Equipment	-16.6	-16.5
  Petroleum Products	-3.3	-3.3
  Electrical Machinery	-3.1	-3.1
  Footwear & Wearing Apparel*	-6.9	n.a.
  Tobacco	-6.4	-6.4
  Wood & Wood Products	-12.2	-11.7
  Rubber Products	-5.5	-5.4
  Publishing & Printing*	-2.4	n.a.
  Fabricated Metal Products	-1.4	n.a.
  Leather Products*	-14.0	n.a.
  Miscellaneous Manufacture	-0.7	-3.8
  Furniture & Fixtures	-0.9	-0.9

  Note: * - new sectors in the 1994-based series
  Sectors are ranked according to their contribution to the overall 1994-based September 2001 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.

  ANNEX 1-B

  VOLUME OF PRODUCTION INDEX, SEPTEMBER 2001

  Gainers	Year-on-Year Growth (%)
  	1994-based	1992-based
  Footwear & Wearing Apparel*	76.8	n.a.
  Basic Metals	17.5	9.7
  Petroleum Products	6.0	6.8
  Machinery Excluding Electrical*	27.0	n.a.
  Fabricated Metals*	19.3	n.a.
  Leather Products	81.4	n.a.
  Publishing & Printing	7.7	n.a.
  Transport Equipment	0.6	9.4
  Losers	Year-on-Year Growth (%)
  	1994-based	1992-based
  Chemical Products	-12.7	1.7
  Food Manufacturing	-4.7	12.4
  Tobacco	-20.1	-16.8
  Paper & Paper Products	-24.1	-20.3
  Textile	-15.4	2.5
  Electrical Machinery	-33.9	-4.8
  Non-Metallic Mineral Products	-5.5	-8.9
  Rubber Products	-27.0	-23.3
  Beverage	-3.1	13.2
  Wood & Wood Products	-14.6	-26.3
  Furniture & Fixtures	-15.0	0.4
  Miscellaneous Manufacture	-2.8	-36.7
  Gainers	Month-on-Month Growth (%)
  	1994-based	1992-based
  Beverage	24.4	24.4
  Basic Metal	4.7	-1.3
  Textile	6.9	17.0
  Non-Metallic Mineral Products	4.6	-1.3
  Paper & Paper Products	0.5	3.0
  Machinery Excluding Electrical*	0.7	n.a.

  ANNEX 1-B

  VOLUME OF PRODUCTION INDEX, SEPTEMBER 2001 (concluded)

  Losers	Month-on-Month Growth (%)
  	1994-based	1992-based
  Food Manufacturing	-8.5	-14.3
  Chemical Products	-9.8	-2.7
  Transport Equipment	-16.9	-16.9
  Petroleum Products	-3.3	-3.1
  Footwear & Wearing Apparel*	-6.0	n.a.
  Tobacco	-6.4	-6.4
  Wood & Wood Products	-12.3	-11.7
  Rubber Products	-5.5	-5.4
  Publishing & Printing*	-2.4	n.a.
  Electrical Machinery	-2.6	-2.5
  Fabricated Metals*	-1.4	n.a.
  Leather Products*	-8.4	n.a.
  Miscellaneous Manufacture	-0.2	-3.7
  Furniture & Fixtures	-0.3	-0.9

  Note: * - new sectors in the 1994-based series
  Sectors are ranked according to their contribution to the overall 1994-based September 2001 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.

  ANNEX 2-A

  VALUE OF NET SALES, SEPTEMBER 2001

  Gainers	Year-on-Year Growth (%)
  	1994-based	1985-based
  Basic Metals	30.3	32.2
  Food Manufacturing	8.0	6.1
  Petroleum Products	8.1	8.1
  Chemicals	7.9	23.9
  Fabricated Metal Products*	47.4	n.a.
  Miscellaneous Manufactures	13.0	7.6
  Beverages	12.1	15.0
  Transport Equipment	6.7	13.1
  Publishing & Printing*	22.1	n.a.
  Tobacco	8.9	8.9
  Leather Products*	4.4	n.a.
  Losers	Year-on-Year Growth (%)
  	1994-based	1985-based
  Electrical Machinery	- 6.6	- 7.1
  Paper & Paper products	-18.1	-15.5
  Footwear & Wearing Apparel*	- 5.7	n.a.
  Machinery Excluding Electrical*	-16.9	n.a.
  Furniture & Fixtures	-22.3	- 4.0
  Textiles	-4.3	-1.0
  Rubber Products	-18.2	-16.0
  Wood & Wood Products	- 7.7	-29.7
  Non-Metallic Mineral Products	-1.8	1.2
  Gainers	Month-on-Month Growth (%)
  	1994-based	1985-based
  Beverage	22.4	21.8
  Chemicals	4.4	2.4
  Electrical Machinery	4.2	6.1
  Textile	8.9	9.1
  Miscellaneous Manufactures	2.9	-2.1
  Paper & Paper Products	2.1	3.0
  Machinery Excluding Electrical*	2.3	n.a.

  ANNEX 2-A

  VALUE OF NET SALES, SEPTEMBER 2001 (concluded)

  Losers	Month-on-Month Growth (%)
  	1994-based	1985-based
  Food Manufacturing	-6.6	-8.4
  Tobacco	-37.1	-37.1
  Transport Equipment	-12.3	-10.6
  Basic Metals	-7.2	-6.9
  Petroleum Products	-3.4	-3.4
  Publishing & Printing*	-16.2	n.a.
  Footwear & Wearing Apparel*	-3.4	n.a.
  Non-Metallic Mineral Products	-4.0	-2.4
  Wood & Wood Products	- 6.9	-11.6
  Leather Products*	-13.2	n.a.
  Rubber Products	-0.1	-1.9

  Note: * - new sectors in the 1994-based series
  Sectors are ranked according to their contribution to the overall 1994-based September 2001 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.

  ANNEX 2-B

  VOLUME OF NET SALES, SEPTEMBER 2001

  Gainers	Year-on-Year Growth (%)
  	1994-based	1992-based
  Footwear & Wearing Apparel*	56.4	n.a.
  Food Manufacturing	7.9	10.8
  Miscellaneous Manufactures	97.0	-30.8
  Fabricated Metal	35.8	n.a.
  Basic Metals	8.5	31.0
  Petroleum Products	3.1	3.7
  Leather Products	60.6	n.a.
  Losers	Year-on-Year Growth (%)
  	1994-based	1992-based
  Electrical Machinery	-34.5	-3.3
  Chemicals	-13.2	18.2
  Textiles	-20.6	-1.0
  Paper & Paper Products	-25.0	-19.3
  Machinery Excluding Electrical*	-24.8	n.a.
  Tobacco	-9.1	-5.3
  Furniture & Fixtures	-34.1	-6.1
  Non-Metallic Mineral Products	-6.2	-13.3
  Publishing & Printing*	-15.7	n.a.
  Transport Equipment	-3.2	4.9
  Beverages	-3.2	16.0
  Rubber Products	-21.7	-16.2
  Wood & Wood Products	- 6.7	-29.9
  Gainers	Month-on-Month Growth (%)
  	1994-based	1992-based
  Beverages	22.4	21.8
  Electrical Machinery	4.8	6.7
  Chemicals	4.4	2.5
  Textiles	1.3	8.2
  Miscellaneous Manufactures	3.4	-2.0
  Machinery Excluding Electrical*	2.3	n.a.
  Paper & Paper Products	1.0	2.9
  Furniture & Fixtures	0.6	-9.6

  ANNEX 2-B

  VOLUME OF NET SALES, SEPTEMBER 2001(concluded)

  Losers	Month-on-Month Growth (%)
  	1994-based	1992-based
  Food Manufacturing	-6.7	-9.0
  Tobacco	-37.1	-37.1
  Transport Equipment	-12.6	-11.0
  Basic Metals	-7.8	-6.9
  Petroleum Products	-3.3	-3.1
  Publishing & Printing*	-16.2	n.a.
  Non- Metallic Mineral Products	-4.2	-2.4
  Footwear & Wearing Apparel*	-2.4	n.a.
  Wood & Wood Products	-7.0	-11.6
  Rubber Products	-2.0	-1.9
  Leather Products*	-7.6	n.a.
  Fabricated Metal Products*	-0.1	n.a.

  Note: * - new sectors in the 1994-based series
  Sectors are ranked according to their contribution to the overall 1994-based September 2001 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.

  ANNEX 3-A

  AVERAGE CAPACITY UTILIZATION BY MAJOR SECTOR, SEPTEMBER 2001

  Sector	1994-based	1985-based
  MANUFACTURING	77.0	77.1
  Food Manufacturing	71.8	71.3
  Beverage	80.3	80.3
  Tobacco	89.7	84.1
  Textile	80.0	80.2
  Footwear & Wearing Apparel*	78.4	78.6
  Wood & Wood Products	71.2	75.4
  Furniture & Fixtures	79.5	87.6
  Paper & Paper Products	79.5	82.8
  Publishing & Printing*	79.8	n.a.
  Leather Products*	87.6	n.a.
  Chemical Products	76.9	79.4
  Rubber Products	83.2	82.8
  Petroleum Products	82.4	82.5
  Non-Metallic Mineral Products	73.8	81.1
  Basic Metals	67.0	65.4
  Fabricated Metal Products*	67.5	n.a.
  Machinery Excluding Electrical*	95.0	n.a.
  Transport Equipment	68.9	70.1
  Electrical Machinery	77.9	79.0
  Misc. Manufactures	78.7	79.9

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

Source: National Statistics Office
Manila, Philippines