Year-on-Year
The Producer Price Index (PPI) for manufacturing posted an increase of 6.4 percent in November 2022. This was lower than the 7.3 percent annual increment observed in October 2022. Last year, the PPI for November posted an increase of 1.1 percent. (Table A and 1)
The increase in the PPI in November 2022 can be attributed to the annual upturns in the indices of 20 industry divisions led by manufacture of coke and refined petroleum products, which registered an annual growth of 13.8 percent.
On the contrary, the two industry divisions that exhibited decrements were the manufacture of machinery and equipment except electrical and printing and reproduction of recorded media with annual growth rates of -0.3 percent and -0.2 percent, respectively.
Month-on-Month
Month-on-month, the PPI for manufacturing dropped to annually by -0.7 percent in November 2022, from a 0.1 percent increase in October 2022. In November 2021, the PPI recorded a monthly increment of 0.1 percent. (Table A and 1)
Fourteen of the 22 industry divisions registered negative monthly growth rates in November 2022. These were led by the manufacture of other non-metallic mineral products (-3.1%); manufacture of computer, electronic and optical products (-2.0%); and manufacture of furniture (-1.2%).
In contrast, the PPI of five industry divisions exhibited increments with manufacture of paper and paper products posting the largest monthly increase at 0.7 percent. Meanwhile, manufacture of beverages, manufacture of leather and related products, including footwear, and manufacture of textiles exhibited zero percent monthly growth rates. (Tables A-2 and 1)
Manufacture of food products
The PPI for the manufacture of food products posted positive growth with an annual rate of 8.0 percent in November 2022. This rate is a slowdown as compared to the October 2022 annual growth rate of 9.6 percent.
The increment in November 2022 was attributed by the annual increases in the PPI of seven industry groups under the manufacture of food products. Moreover, double-digit upturns were registered in three industry groups, namely: processing and preserving of fish, crustaceans and mollusks (16.4%), manufacture of grain mill products, starches and starch products (15.4%), and manufacture of prepared animal feeds (15.4%). (Tables 1 and 2)
On a month-on-month basis, the PPI for the manufacture of food products exhibited a downward trend with a monthly growth rate of -0.9 percent in November 2022. In October 2022, the PPI for the manufacture of food products is at 1.0 percent. Five of the eight industry groups of food manufacturing contributed to the decrease of its PPI. This was led by the processing and preserving of fruits and vegetables which registered a monthly drop rate of -4.5 percent. (Tables 1 and 2)
DENNIS S. MAPA, Ph.D.
Undersecretary
National Statistician and Civil Registrar General
- Introduction
- Method of Index Computation
Note:
A linking factor is computed every time weights are changed. The linking factor is used to adjust new series for comparability with the old series.
- Computation of Growth Rates
Year-on-year growth rates are computed by dividing the current month’s index by the index of the same month of the previous year less 1.
Month-on-month growth rates are computed by dividing the current month’s index by the previous month’s index less 1.
- Imputation and Revision
Imputation is done for sample establishments that are in operation during the reference period but with no received response during the release date. Results are revised accordingly when the actual data are received, and these revisions are reflected in the next release.
- Industry Coverage
Starting with the January 2013 reference month, PPI utilizes the 2009 Philippine Standard Industrial Classification (PSIC) to classify sectors and industries. Selected industry groups of the 2009 PSIC were grouped to form the 22 industry divisions of the 2021 PPS. These are presented in the table below.
2009 PSIC CODE |
INDUSTRY DESCRIPTION |
---|---|
C10 |
Manufacture of food products * |
C11 |
Manufacture of beverages |
C12 |
Manufacture of tobacco products |
C13 |
Manufacture of Textiles |
C14 |
Manufacture of wearing apparel |
C15 |
Manufacture of leather and related products, including footwear |
C16 |
Manufacture of wood, bamboo, cane, rattan articles, and related products products* |
C17 |
Manufacture of paper and paper products |
C18 |
Printing and reproduction of recorded media |
C19 |
Manufacture of coke and refined petroleum products |
C20 |
Manufacture of chemical and chemical products* |
C21 |
Manufacture of basic pharmaceutical products and pharmaceutical preparations |
C22 |
Manufacture of rubber and plastic products* |
C23 |
Manufacture of other non-metallic mineral products* |
C24 |
Manufacture of basic metals* |
C25 |
Manufacture of fabricated metal products, except machinery and equipment* |
C26 |
Manufacture of computer, electronic, and optical products* |
C27 |
Manufacture of electrical equipment* |
C28 |
Manufacture of machinery and equipment except electrical* |
C29, C30 |
Manufacture of transport equipment* |
C31 | Manufacture of furniture |
C32, C33 | Other manufacturing |
* Industry divisions categorized further into industry groups
See more at the Producer Price Survey (PPS) main page.