•    Producer Price Index decreases in November 2014

Producer Price Index (PPI, 2000=100) for manufacturing decelerated by 0.6 percent in November 2014 from negative 4.8 percent during the same period last year.  This was mainly attributed to the significant decrease in producer price of petroleum products (-15.9%). On the other hand, twelve out of the twenty major sectors reflected increments led by tobacco products (11.4%) but the performance of these sectors were not able to achieve a positive annual rate for the November 2014 PPI. Refer to Tables 1 and A-1.

On a monthly basis, PPI likewise declined slowly by 0.1 percent in November 2014 from a negative 0.8 percent a month earlier. The decrease was brought about by nine major sectors including the heavily-weighted sectors namely: petroleum products (-5.3%), electrical machinery (-2.5%) and food manufacturing (-0.3%). Furthermore, four sectors posted increases while seven sectors remained flat. Refer to Tables 1 and A-2.

TABLE A-2   Producer Price Index, October 2014 – November 2014:
(2000=100)

• 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 November 2014 is 85.5 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.