PRODUCTION

Value of Production kept its three-digit growth

The Value of Production Index (VaPI) for manufacturing showed an annual increment of 523.3 percent in August 2021. This was the second highest annual growth rate in the 2018-based data series of VaPI after hitting its highest annual increase in the previous month at 528.7 percent.  In contrast, the annual growth rate for VaPI in August 2020 was recorded at -83.1 percent.  (Tables A and 1)

The significant expansion in VaPI for manufacturing sector in August 2021 was due to the increases in 14 out of 22 industry divisions. The fastest growth rate was reported in manufacture of coke and refined petroleum products at 4,388.7 percent. The remaining eight industry divisions recorded decreases, with manufacture of tobacco products registering the fastest annual decline of -53.8 percent.  (Tables 1-A and 1)

Volume of Production Index likewise accelerated

Similar to VaPI, the Volume of Production Index (VoPI) maintained its three-digit rate of increase at 534.6 percent in August 2021 compared with the growth rate of 539.7 percent in the previous month. In August 2020, VoPI dropped at an annual rate of -82.2 percent.  (Tables A and 2)

Sixteen industry divisions contributed to the positive growth of VoPI in August 2021, of which the fastest growth was reported in manufacture of coke and refined petroleum products at 3,800.9 percent. On the other hand, six industry divisions recorded decrements with manufacture of tobacco products registering the fastest annual decline of -53.8 percent.  (Tables 1-B and 2)

NET SALES

Value of Net Sales Index expanded

The Value of Net Sales Index (VaNSI) recorded a year-on-year increase of 6.5 percent in August 2021, from a lower annual growth rate of 1.5 percent in the previous month. In August 2020, VaNSI dropped at an annual rate of -18.8 percent.  (Tables A and 3)

Of the 22 industry divisions, 13 reported positive growths, led by manufacture of fabricated metal products except machinery and equipment which registered an annual increase of 122.1 percent. Meanwhile, nine industry divisions showed downturns in August 2021 with manufacture of tobacco products recording the highest decline of -22.2 percent.  (Tables 2-A and 3)

Volume of Net Sales Index gained further

The Volume of Net Sales Index (VoNSI), likewise, accelerated at a faster rate of 8.4 percent compared with its 3.3 percent increase in the previous month. In August 2020, VoNSI declined by -14.3 percent.  (Tables A and 4)

The increase in VoNSI was brought about by the positive growth rates of 12 industry divisions. Of these, manufacture of fabricated metal products except machinery and equipment had the highest growth rate at 121.8 percent growth. In contrast, the remaining 10 industry divisions exhibited decreases during the period which was led by manufacture of tobacco products with -22.1 percent decrease.  (Tables 2-B and 4)

CAPACITY UTILIZATION

Average capacity utilization rate for manufacturing slightly decreased

Based on responding establishments, the average capacity utilization rate for the manufacturing sector in August 2021 dropped to 66.1 percent from 66.8 percent in the previous month.

There were 19 out of 22 industry divisions with more than 50 percent average capacity utilization rate, led by manufacture of furniture (83.1%), manufacture of tobacco products (81.6%), and manufacture of other non-metallic mineral products (79.3%).  (Table 6)

More than one-fifth of the responding establishments operated at full capacity

The proportion of establishments that operated at full capacity (90% to 100%) was 22.2 percent of the total number of responding establishments. Meanwhile, 36.6 percent operated at 70 to 89 percent capacity, while 41.2 percent operated below 70 percent capacity.  (Table B)

TABLE 1-B.   Year-on-Year Growth Rate (%) of Volume of Production Index
by Industry Division: July 2021^r and August 2021^p
(2018 = 100)

 

TABLE 2-A.   Year-on-Year Growth Rate (%) of Value of Net Sales Index
by Industry Division: July 2021^r and August 2021^p
(2018 = 100)

 

TABLE 2-B.   Year-on-Year Growth Rate (%) of Volume of Net Sales Index
by Industry Division: July 2021^r and August 2021^p
(2018 = 100)

 

 

 

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

 

 

See more at the Monthly Integrated Survey of Selected Industries (MISSI) landing page.