• Producer Price Index keeps negative annual rate

Producer Price Index (PPI, 2000=100) for manufacturing posted a decrement of 2.0 percent in July 2014 compared with negative 6.3 percent recorded in July 2013. Furniture and fixtures (-18.2%) and machinery except electrical (-10.9%) led the sectors that pulled down the PPI. Other sectors that contributed to the negative performance of PPI were the following: fabricated metal products (-7.9%), miscellaneous manufactures (-5.6%), basic metals (-3.9%), petroleum products (-2.7%), transport equipment (-1.0%) and chemical products (-0.1%). On the other hand, annual increments were posted by eleven major sectors led by tobacco products (5.7%)  Refer to Tables 1 and A-1.

On a monthly basis, PPI posted a negative 0.6 percent downtick in July 2014. Nine sectors posted decreases led by fabricated metal products (-5.2%). Moreover, increases were noted in five sectors while six sectors recorded flat growths. Refer to Tables 1 and A-2

• Introduction

• Method of Index Computation

• Industry Coverage

Starting with January 2013 reference month, the PPI utilizes the 2009 Philippine Standard Industry Classification (PSIC) to classify sectors and industries. Selected industry classes of the 2009 PSIC were grouped to form the 20 industry groupings of the 2014 PPS. These are presented in the table below.

Note:  * - Major sectors categorized into sub-sectors

• Response Rate

The response rate for July 2014 is 91.1 percent, which corresponds to the retrieval of 326 establishments’ reports out of the 358 samples for the survey.  Refer to Table B.

Missing prices for products of sample establishments are estimated using the short-term relative change of all available prices within the same industry class. Revisions to the preliminary estimates are done upon receipt of actual reports from late respondents.