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2010 Annual Survey of Philippine Business and Industry - Mining and Quarrying Sector : Final Results

Reference Number: 2012-15
Release Date: 04 February 2013


Gold ore mining dominates the sector

The final results of the 2010 Annual Survey of Philippine Business and Industry (ASPBI) showed that there were 110 establishments engaged in mining and quarrying activities (Table 1).

Of the total count, establishments engaged in gold ore mining dominated the sector with 16 or 14.5 percent of the total. This was followed by nickel ore mining with 15 establishments or 13.6 percent and limestone quarrying with 14 establishments or 12.7 percent of the total. Figure 1 displays the percentage distribution of all mining and quarrying establishments by industry sub-class in 2010.



Among regions, most of the mining and quarrying establishments were located in Central Visayas with 17 establishments or 15.5 percent of the total. Caraga followed next with 15 establishments (13.6%). MIMAROPA accounted for 14 (12.7%) establishments (Table 1).


Gold and copper ore mining account for more than half of total employment

In 2010, mining and quarrying establishments employed a total of 26,834 workers.

Combined number of workers of the top two industries, comprised more than half (50.6%) of the total employment, gold ore mining with 6,851 (25.5%) and copper ore mining with 6,723 (25.1%) workers. Nickel ore mining hired a total of 6,200 or 23.1 percent of the total employment. Figure 2 shows the distribution of employment for all mining and quarrying establishments by industry sub-class in 2010.



The average number of workers per establishment in the mining and quarrying sector was recorded at 244. Copper ore mining recorded the highest number with 747 workers per establishment, followed by gold ore mining with 428 workers. Nickel ore mining with 413 workers per establishment ranked third (Table 1a).

By region, mining and quarrying establishments located in Caraga employed the bulk of workers with 5,870 or 21.9 percent of the total. Central Visayas and Cordillera Administrative Region (CAR) employed a total of 4,490 (16.7%) and 3,726 (13.9%), respectively (Table 1).


Employees of extraction of crude petroleum receive the highest compensation

Total compensation paid by all mining and quarrying establishments to its employees in 2010 amounted to PHP7.1 billion, translating to an average annual compensation of PHP264,438 per employee.

Employees in the extraction of crude petroleum received the highest annual average pay of PHP1,440,697. Copper and gold ore mining industries ranked second and third with average annual pay of PHP275,556 and PHP273,750 per employee, respectively. Employees in the nickel ore mining earned an annual average compensation of PHP225,364. Figure 3 presents the average annual compensation of employees for all mining and quarrying establishments by industry sub-class in 2010.



Value of output totals to PHP100.4 billion

In 2010, value of output generated by all mining and quarrying establishments was estimated at PHP100.4 billion.

By industry sub-class, extraction of crude petroleum generated the biggest output value of PHP27.5 billion or 27.4 percent, followed by copper ore mining with PHP20.0 billion or 20.0 percent, and gold ore mining with PHP15.3 billion or 15.3 percent of the total. Figure 4 shows the percentage distribution of value of output for all mining and quarrying establishments by industry sub-class in 2010.



Of the total value of output, mining and quarrying establishments located in MIMAROPA generated about a quarter (24.7% or PHP24.7 billion) of the total. This was followed by establishments in Western Visayas which generated an output value of PHP16.4 billion or 16.3 percent of the total. Zamboanga Peninsula followed next with output value of PHP12.0 billion or 12.0 percent of the total (Table 1).


Total cost reaches PHP59.6 billion, copper ore mining incurs the highest

Total cost, excluding compensation, incurred by all mining and quarrying establishments in 2010 amounted to PHP59.6 billion.

Among industry sub-classes, copper ore mining incurred the highest cost with PHP11.5 billion or 19.2 percent of the total. Extraction of crude petroleum followed with PHP10.8 billion or 18.2 percent and gold ore mining with PHP10.0 billion or 16.7 percent of the total cost (Table 1).  


Extraction of salt records the highest returns

Revenue per cost ratio for all mining and quarrying establishments was estimated at 1.76. This means that for every peso spent, corresponding revenue of PHP1.76 was generated.

Among industries, extraction of salt had the highest revenue-cost ratio of 3.21. Placing second was extraction of crude petroleum with a 2.60 ratio while nickel ore mining which recorded a ratio of 2.02 ranked third (Table 1a).


Extraction of crude petroleum generates the biggest value added

Total value added generated in 2010 by all mining and quarrying establishments was estimated at PHP54.5 billion.

Among industries, extraction of crude petroleum contributed the biggest share amounting to PHP19.9 billion or 36.6 percent of total value added. Copper ore mining ranked a far second with value added of PHP10.4 billion or 19.1 percent, followed by nickel ore mining with PHP7.5 billion or 13.8 percent of the total.

Regionwide, mining and quarrying establishments located in MIMAROPA contributed the biggest value added in 2010 estimated at PHP20.3 billion (37.3%). Zamboanga Peninsula followed with PHP6.8 billion or 12.5 percent and CAR with 6.2 billion or 11.4 percent of the total. On the other hand, Northern Mindanao had the least value added generated in 2010 with estimated value of PHP4.0 million or 0.01 percent (Table 1).


Workers in extraction of crude petroleum are the most productive

Labor productivity, measured as value added per worker, was estimated at PHP2.0 million in 2010.

Workers in the extraction of crude petroleum were the most productive, generating value of PHP42.9 million per worker. Workers in copper ore mining ranked a far second with PHP1.5 million, followed by nickel ore mining with PHP1.2 million per worker. Figure 5 shows the distribution of value added per worker for all mining and quarrying establishments by industry sub-class in 2010.



Copper ore mining gross addition to tangible fixed assets reaches PHP14.5 billion

Gross addition to tangible fixed assets, defined as capital expenditure less sale of tangible fixed assets, acquired by all mining and quarrying establishments in 2010 was estimated at PHP24.2 billion (Table 1).

Among industries, copper ore mining acquired more than half (59.8% or PHP14.5 billion) of the total value of gross addition to tangible fixed assets. Other top contributors and their corresponding shares were as follows:

  • Extraction of crude petroleum, PHP2.6 billion (10.8%)
  • Nickel ore mining, PHP1.6 billion (6.6%)
  • Gold ore mining, PHP1.0 billion (4.3%)
  • Stone, clay and sand pits, n.e.c., PHP423.6 million (1.7%)


Subsidies from the government amounts to PHP231.8 million

Subsidies granted by the government to the mining and quarrying sector in 2010 amounted to PHP231.8 million.





This Special Release presents the final results of the 2010 Annual Survey of Philippine Business and Industry for the Mining and Quarrying sector.

The 2010 ASPBI is one of the designated statistical activities of the National Statistics Office (NSO) with the objective of providing key measures on the levels, structure, trends, and performance of economic activities in the country. As such, the survey generates the most critical and essential statistics required for economic planning and policies.  It was conducted in April 2011 with year 2010 as the reference period of data, except for employment which is as of November 15, 2010.

The 2009 Philippine Standard Industrial Classification (PSIC) was adopted for the first time in this survey. This is the latest version of the classification of industries in the country which conforms with the International Standard Industrial Classification Revision 4 prescribed by the United Nations.

National data are presented at the industry sub-class or 5-digit 2009 PSIC. Industries at the regional level were aggregated due to small number of establishments. Hence, totals only are presented for the region.


Legal Authority

The conduct of the ASPBI is governed by legislative acts and presidential directives, mainly Commonwealth Act No. 591 which was approved on August 19,1940. Other legislative acts are:

  • Presidential Decree No. 418
  • Executive Order No. 121
  • Executive Order No. 352
  • Executive Order No. 5


Scope and Coverage

The 2010 ASPBI covered establishments engaged in 18 economic sectors classified under the 2009 PSIC, namely:

  • Agriculture, Forestry and Fishing (A)
  • Mining and Quarrying (B)
  • Manufacturing (C)
  • Electricity, Gas, Steam, and Air Conditioning Supply (D)
  • Water Supply; Sewerage, Waste Management and Remediation Activities (E)
  • Construction (F)
  • Wholesale and Retail Trade; Repair and Maintenance of Motor Vehicles, Motorcycles (G)
  • Transportation and Storage (H)
  • Accommodation and Food service activities (I)
  • Information and Communication (J)
  • Financial and Insurance Activities (K)
  • Real Estate Activities (L)
  • Professional, Scientific and Technical Activities (M)
  • Administrative and Support Service Activities (N)
  • Education (P)
  • Human Health and Social Work Activities (Q)
  • Arts, Entertainment and Recreation (R)
  • Other Service Activities (S)

The survey was confined to the formal sector of the economy, which consists of the following:

  • Corporations and partnership
  • Cooperatives and foundations
  • Single proprietorship with employment of 10 and over
  • Single proprietorships with branches


Unit of Enumeration

Like all other establishments surveys conducted by the NSO, the 2010 ASPBI unit of enumeration is the establishment.  The establishment is defined as an economic unit under a single ownership or control which engages in one or predominantly one kind of activity at a single fixed location.



Mining and Quarrying establishments in the formal sector were covered on a 100 percent basis because of relatively small number. 


Response Rate

The response rate is 93.2 percent (151 out of 162 establishments). These include receipts of "good" questionnaires, partially accomplished questionnaires, reports of closed, moved out or out of scope establishments.


Limitation of Data

There are 32 industry sub-classes (5-digit PSIC) which constituted the industry domains for mining and quarrying sector. However, due to relatively small number of establishments, this sector cannot provide estimates by industry sub-classes at the regional level to ensure confidentiality of individual establishment’s data. Hence, the table is presented at the regional total level only and were suppressed.

Furthermore, only the formal sector was covered in the survey.


Concepts and Definitions of Terms

Economic activity is the establishment’s source of income. If the establishment is engaged in several activities, its main economic activity is that which earns the biggest income or revenue.

Total employment is the number of persons who worked in for the establishment as of November 15, 2010.

Paid employees are all persons working in the establishment and receiving pay, as well as those working away from the establishment paid by and under the control of the establishment. Included are all employees on sick leave, paid vacation or holiday. Excluded are consultants, home workers, receiving pure commissions only, and workers on indefinite leave.

Compensation includes salaries and wages, separation/retirement/terminal pay, gratuities, and payments made by the employer in behalf of the employees such as contribution to SSS/GSIS, ECC, PhilHealth, Pag-ibig, etc.

Revenue includes cash received and receivables for goods/products and by-products sold and services rendered. Valuation is at producer prices (ex-establishment), net of discounts, and allowances, including duties and taxes but excluding subsidies.

Cost refers to all expenses incurred during the year whether paid or payable. Valuation is at purchaser prices including taxes and other charges, net of rebates, returns and allowances. Goods and services received by the establishment from other establishments of the same enterprise are valued as though purchased.

Intermediate cost refers to expenses incurred in the production of goods such as materials and supplies purchased, fuels purchased, electricity purchased, and industrial services done by others plus beginning inventory of materials, supplies and fuels less ending inventory of materials, supplies and fuels.

Value added is gross output less intermediate cost. Gross output for the mining and quarrying sector is value of output plus non-industrial services done for others (except rent income from land). Intermediate input is intermediate cost plus non-industrial services done by others (except rent expense for land) and other costs.

Value of output represents the sum of the receipts from products and by-products sold,  industrial services, and goods sold in the same condition as purchased  less the cost of goods sold; and  value of fixed assets produced on own account and change in inventories of finished products and work-in-progress.

Gross addition to tangible fixed assets is equal to capital expenditures less sale of fixed assets, including land.

Change in inventories is equivalent to the value of inventories at the end of the year less the value of inventories at the beginning of the year.

Inventories refer to the stock of goods owned by and under the control of the establishment as of a fixed date, regardless of where the stocks are located. Valuation is at current replacement cost in purchaser prices. Replacement cost is the cost of an item in terms of its present price rather than its original cost.

Subsidies are all special grants in the form of financial assistance or tax exemption or tax privilege given by the government to aid and develop an industry.




Mining and Quarrying by Year

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Economic Sector Statistics Service +632 8376 2060/1835

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