A. Year-on-year Growth for April 2023

1. Value of Production Index (VaPI)

The VaPI for manufacturing continued to increase by 10.7 percent in April 2023, faster than the March 2023 annual growth of 6.0 percent. In April 2022, the VaPI recorded an annual growth rate of 5.0 percent.  (Figure 2, Tables A and 1)

The faster annual growth of the VaPI in April 2023 was mainly contributed by the higher annual upturn in the manufacture of food products industry division at 19.7 percent in April 2023 from 10.0 percent in the previous month. The manufacture of food products contributed 38.2 percent to the uptrend of VaPI for the manufacturing section in April 2023. Out of the 22 industry divisions for the manufacturing section, manufacture of food products was the industry division with the highest weight  in the computation of VaPI.

Other main contributors to the higher year-on-year growth of VaPI in April 2023 were the faster annual increases in the manufacture of transport equipment at 35.8 percent during the period from 23.1 percent in the previous month, and manufacture of other non-metallic mineral products with an annual rate of 19.1 percent during the period from 7.7 percent annual increment in the previous month.

Of the remaining 19 industry divisions, eight exhibited annual increments during the period. Meanwhile, 11 industry divisions registered annual decreases during the month. The highest annual decrement was observed in manufacture of wearing apparel at -33.2 percent.  (Tables C and 1)

The top three industry divisions contributing to the overall VaPI for manufacturing in April 2023 were the following:

a. Manufacture of food products with 55.8 percent share;
b. Manufacture of transport equipment with 39.8 percent share; and
c. Manufacture of basic metals with 11.4 percent share.

In April 2023, the VaPI for manufacture of food products registered an annual increment of 19.7 percent. This was higher compared with its March 2023 annual growth rate of 10.0 percent and with its April 2022 annual increase of 1.0 percent.  (Figure 3, and Tables 1 and 1a)

The faster year-on-year growth of the VaPI for manufacture of food products in April 2023 was primarily driven by the higher annual increment in the manufacture of other food products industry group at 25.6 percent during the period from 2.1 percent in the previous month. The manufacture of other food products industry group includes bakery products, sugar, condiments, among others.

Other primary contributors to the year-on-year upturn of VaPI for manufacture of food products were manufacture of dairy products with an annual increment of    40.3 percent during the month from an annual increase of 11.5 percent in March 2023, and manufacture of grain mill products, starches and starch products with a higher annual increase of 28.6 percent in April 2023 from 14.3 percent in the previous month.  (Table 1a)

2. Volume of Production Index (VoPI)

The VoPI for manufacturing registered a year-on-year increment of 8.2 percent in April 2023. This rate is faster than the annual increase of 3.4 percent in the previous month. In April 2022, however, VoPI recorded an annual drop of -1.3 percent.  (Figure 3, Tables A and 2)

The faster annual growth of VoPI in April 2023 was mainly brought about by the higher annual rates in the same top three industry divisions that contributed to the increase in the annual growth of VaPI during the period. These were the following:

a. Manufacture of food products, 14.7 percent from 4.3 percent in the previous month;
b. Manufacture of transport equipment, 38.0 percent from  26.3 percent in the past month; and
c. Manufacture of other non-metallic mineral products, 15.7 percent from 2.9 percent in March 2023.

Of the remaining 19 industry divisions, six exhibited annual increases during the period. Meanwhile, 13 industry divisions recorded annual decrements during the month. The highest annual decline was noted in manufacture of wearing apparel at -35.6 percent.  (Tables D and 2)

The top three industry divisions contributing to the overall VoPI for manufacturing in April 2023 were the following:

a. Manufacture of transport equipment with 56.4 percent share;
b. Manufacture of food products with 55.7 percent share; and
c. Manufacture of basic metals with 19.4 percent share.

The VoPI for manufacture of food products registered an annual increment of 14.7 percent in April 2023. This was higher compared with its annual growth rate in March 2023 at 4.3 percent. On the other hand, the VoPI for manufacture of food products in April 2022 posted an annual drop of -7.3 percent.  (Figure 3, and Tables 2 and 2a)

The expansion in the annual growth of VoPI for manufacture of food products in April 2023 was primarily contributed by the annual increment recorded in manufacture of other food products industry group at 16.6 percent during the month from an annual decline of -5.5 percent in the previous month. The manufacture of other food products includes bakery products, sugar, condiments, among others.

Other primary contributors to the faster year-on-year growth of VoPI for manufacture of food products were the higher annual growth rates posted during the month in manufacture of dairy products at 29.9 percent from 2.8 percent in March 2023; and manufacture of grain mill products, starches and starch products at 27.1 percent from 11.0 percent in the previous month.  (Table 2a)

3. Value of Net Sales Index (VaNSI)

The VaNSI for manufacturing exhibited an annual increment of 0.7 percent in April 2023 after posting an annual drop of -0.3 percent in the previous month. In April 2022, VaNSI recorded a double-digit annual increase of 24.6 percent.  (Figure 4, Tables A and 3)

The annual increment of VaNSI in April 2023 was mainly brought about by the annual increase in the manufacture of coke and refined petroleum products industry division at 12.5 percent after registering an annual drop of -6.2 percent in March 2023. The manufacture of coke and refined petroleum products contributed 44.8 percent to the uptrend of VaNSI of the manufacturing section in April 2023.

Other main contributors to the annual upturn of VaNSI in April 2023 were manufacture of rubber and plastic products with an annual growth of 8.7 percent during the period from an annual drop of -13.4 percent in the previous month, and manufacture of wood, bamboo, cane, rattan articles and related products with an annual increase of 17.6 percent in April 2023 from -9.9 percent annual drop in the previous month.

Moreover, eight of the remaining 19 industry divisions registered year-on-year increases in April 2023. Meanwhile, 11 industry divisions posted annual declines during the period. The highest annual drop was observed in manufacture of wearing apparel at -23.5 percent.  (Tables E and 3)

The top three industry divisions contributing to the overall VaNSI for manufacturing in April 2023 were the following:

a) Manufacture of food products with 174.4 percent share;
b) Manufacture of coke and refined petroleum products with 60.8 percent share; and
c) Manufacture of beverages with 43.2 percent share.

The VaNSI for manufacture of food products posted an annual increment of 10.8 percent in April 2023. This was slower compared with its March 2023 annual growth of 11.0 percent and April 2022 annual increase of 12.1 percent.  (Figure 5, and Tables 3 and 3a)

The slower annual growth of VaNSI for manufacture of food products in April 2023 was mainly contributed by the annual decline in the manufacture of dairy products industry group at -4.2 percent in April 2023 from an annual increment of 4.6 percent in the previous month.

Other primary contributors to the slower year-on-year increase of VaNSI for manufacture of food products were the further annual decline noted in manufacture of vegetable and animal oils and fats at -42.0 percent in April 2023 from -24.2 percent in the previous month, and slower annual increment in manufacture of prepared animal feeds at 13.2 percent during the period from 17.9 percent in March 2023.  (Table 3a)

4. Volume of Net Sales Index (VoNSI)

The VoNSI for manufacturing declined at annual rate of -1.6 percent in April 2023, slower compared with its March 2023 annual decline of -2.8 percent. In April 2022, VoNSI posted an annual increase of 17.1 percent. (Figure 4, and Tables A and 4)
              
The annual drop of VoNSI in April 2023 was primarily brought about by the further annual decline exhibited in the index of manufacture of computer, electronic and optical products industry division at -23.2 percent in April 2023 from -20.4 percent in March 2023. This industry division contributed 23.9 percent to the downtrend of VoNSI of the manufacturing section in April 2023.

Other main contributors to the annual decrease of VoNSI in April 2023 were manufacture of chemical and chemical products with faster annual drop of -18.3 percent during the period from -9.7 percent in the previous month, and manufacture of electrical equipment, which had a slower annual increase of 4.1 percent during the period from 18.9 percent in the previous month.

Furthermore, seven of the 19 remaining industry divisions exhibited annual downturns during the period. Meanwhile, 12 industry divisions posted annual increments in April 2023. The highest year-on-year growth was exhibited by manufacture of wood, bamboo, cane, rattan articles and related products posting an annual increase of 16.3 percent. (Tables F and 4)

The top three industry divisions contributing to the overall VoNSI for manufacturing in April 2023 were the following:

a) Manufacture of computer, electronic and optical products with 592.9 percent share;
b) Manufacture of chemical and chemical products with 133.9 percent share; and
c) Manufacture of paper and paper products with 27.8 percent share.

The VoNSI for manufacture of food products registered a faster annual increment of 6.2 percent in April 2023 from an annual growth of 5.2 percent in March 2023. In April 2022, VoNSI posted an annual growth rate of 3.0 percent.  (Figure 5, and Tables 4 and 4a)

The increase in the year-on-year growth of VoNSI for manufacture of food products in April 2023 was primarily due to the faster annual growth rates observed in these three industry groups:

a) Manufacture of other food products, 14.2 percent from 1.2 percent in    March 2023;
b) Manufacture of grain mill products, starches and starch products, 36.4 percent from 14.9 percent in the previous month; and
c) Processing and preserving of meat, 71.7 percent from 54.0 percent in the past month.  (Table 4a)

B. Average Capacity Utilization Rate

Based on responding establishments, the average capacity utilization rate for manufacturing section in April 2023 was reported at 72.4 percent from 73.2 percent in the previous month.

All industry divisions reported capacity utilization rates of more than 50 percent during the month. The top three industry divisions in terms of reported capacity utilization rate were manufacture of machinery and equipment except electrical (82.7%), manufacture of transport equipment (82.5%), and manufacture of rubber and plastic products (76.6%). (Table 6)

The proportion of establishments that operated at full capacity (90% to 100%) was 24.0 percent of the total number of responding establishments. Meanwhile, 37.9 percent operated at 70 to 89 percent capacity, while 38.1 percent operated below 70 percent capacity.  (Table B)

DENNIS S. MAPA, Ph. D.
Undersecretary
National Statistician and Civil Registrar General

 

 

 

 

 

 

 

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