A. Year-on-year Growth for May 2024

1. Value of Production Index (VaPI)

The VaPI for manufacturing section registered a slower year-on-year increment of 2.2 percent in May 2024 relative to its annual increase of 5.7 percent in April 2024. This brings the average growth rate of VaPI for manufacturing from January to May 2024 to -0.1 percent. In May 2023, VaPI for manufacturing recorded an annual increase of 8.5 percent.
(Figure 2, and Tables A and 1)

The slower annual increase of VaPI for manufacturing in May 2024 was mainly attributed to the deceleration in the annual growth rate of the manufacture of computer, electronic and optical products industry division to 1.6 percent during the month from an annual increase of 9.4 percent in April 2024. The manufacture of computer, electronic and optical products contributed 18.0 percent to the downtrend of VaPI for the manufacturing section in May 2024. Out of the 22 industry divisions for the manufacturing section, manufacture of computer, electronic and optical products was the industry division with the second highest weight  in the computation of VaPI for manufacturing.

Other primary contributors to the slower increase of VaPI for manufacturing in May 2024 were the annual decreases noted in the manufacture of fabricated metal products, except machinery and equipment at 18.0 percent, from a double-digit annual increase of 22.6 percent in the previous month; and in the manufacture of chemical and chemical products at 12.6 percent during the month, from an annual increase of 14.5 percent in April 2024.

Of the remaining 19 industry divisions, 12 exhibited annual declines in their VAPI during the period. Meanwhile, seven industry divisions posted annual increases in May 2024. The manufacture of coke and refined petroleum products posted the highest annual increment of 50.9 percent during the period. (Tables C and 1)

The top three industry divisions contributing to the overall year-on-year growth of VaPI for manufacturing in May 2024 were the following:

a. Manufacture of coke and refined petroleum products;          
b. Manufacture of food products; and          
c. Manufacture of beverages.

For manufacture of food products, its VAPI registered an annual increment of 4.7 percent in May 2024, slower than its annual increase of 8.1 percent in April 2024. In May 2023, VaPI for manufacture of food products posted an annual growth of 4.0 percent. (Figure 3, and Tables 1 and 1a)

The slower annual increase of VaPI for manufacture of food products in May 2024 was primarily brought about by the 6.7 percent annual drop recorded in the manufacture of grain mill products, starches and starch products industry group from an annual increment of 7.2 percent in April 2024.

Other primary contributors to the slower year-on-year increment of VaPI for manufacture of food products were the annual decrease in the processing and preserving of meat at 2.6 percent during the month, from an annual increase of 6.1 percent in the previous month, and the slower annual increase in the manufacture of vegetable and animal oils and fats industry group at 21.2 percent in May 2024, from a 27.0 percent annual increment in April 2024. (Table 1a)

2. Volume of Production Index (VoPI)

In May 2024, the VoPI for the manufacturing section registered an annual growth of 3.2 percent, slower than its annual increase of 6.3 percent in April 2024. This brings the average growth rate of VoPI for manufacturing from January to May 2024 to 0.9 percent. In May 2023, VoPI for manufacturing recorded an annual increase of 6.1 percent. (Figure 2, and Tables A and 2)

The downward trend in the year-on-year growth rate of VoPI for manufacturing in May 2024 was primarily driven by the same top three industry divisions that contributed to the slower annual increase of VaPI for manufacturing during the period. These were the following:

          a. Manufacture of fabricated metal products, except machinery and equipment, 13.4 percent annual decline from a double-digit annual increase of 29.9 percent in April 2024;

          b. Manufacture of chemical and chemical products, 11.7 percent annual decrement from an annual increase of 16.6 percent in the previous month; and

          c. Manufacture of computer, electronic and optical products, 0.3 percent annual decrement from an annual increase of 5.2 percent in April 2024.

Of the remaining 19 industry divisions, 12 exhibited annual declines during the period. Meanwhile, seven industry divisions posted annual increases in May 2024. The manufacture of coke and refined petroleum products posted the highest annual increment of 53.6 percent during the period. (Tables D and 1)

The top three industry divisions contributing to the overall year-on-year growth rate of VoPI for manufacturing in May 2024 were the following:

          a.    Manufacture of coke and refined petroleum products; 
          b.    Manufacture of food products; and
          c.    Manufacture of beverages.

For manufacture of food products, its VoPI registered a year-on-year growth rate of 3.8 percent in May 2024. This was slower compared with its annual increase in April 2024 of 7.2 percent. In May 2023, VaPI for manufacture of food products posted an annual growth of 0.6 percent. (Figure 3, and Tables 2 and 2a)

The slower annual growth rate of VoPI for manufacture of food products in May 2024 was mainly brought about by the same top three industry groups that contributed to the slower year-on-year growth rate of VaPI for manufacture of food products. These were the following:

          a.    Manufacture of grain mill products, starches and starch products; 
          b.    Manufacture of vegetable and animal oils and fats; and
          c.    Processing and preserving of meat.

3. Value of Net Sales Index (VaNSI)

The VaNSI for the manufacturing section registered an annual decrement of 1.5 percent in May 2024, from an annual increase of 6.9 percent in April 2024. This brings the average growth rate of VaNSI for manufacturing from January to May 2024 to -1.4 percent. In May 2023, VaNSI for manufacturing recorded an annual growth rate of 3.4 percent. (Figure 5, and Tables A and 3).

The annual drop of VaNSI for manufacturing in May 2024, from an annual increase in April 2024, was mainly attributed to the slower annual increase in the manufacture of computer, electronic and optical products at 6.7 percent in May 2024, from a double-digit annual increase of 16.0 percent in the previous month. The manufacture of computer, electronic and optical products contributed 20.1 percent to the downtrend of VaNSI for the manufacturing section in May 2024.

Other main contributors to the downtrend in the annual growth rate of VaNSI for manufacturing in May 2024 were the double-digit annual drop in the manufacture of basic metals at 15.9 percent in May 2024, from an annual increment of 4.8 percent in the previous month; and the slower annual increment in the manufacture of fabricated metal products, except machinery and equipment at 4.7 percent during the month, from a double-digit annual growth rate of 40.9 percent in the previous month.

Furthermore, 8 out of the 19 remaining industry divisions exhibited annual declines during the period. Meanwhile, 11 industry divisions posted annual increases in May 2024. The manufacture of wood, bamboo, cane, rattan articles and related products posted the highest annual increment of 19.4 percent during the period. (Tables E and 3)

The top three industry divisions contributing to the overall year-on-year growth rate of VaNSI for manufacturing in May 2024 were the following:

a. Manufacture of basic metals;          
b. Manufacture of other non-metallic mineral products; and          
c. Manufacture of electrical equipment.

For manufacture of food products, its VaNSI registered a year-on-year growth rate of 1.4 percent in May 2024. This was slower compared with its annual increase in April 2024 of 4.0 percent. The VaNSI for manufacture of food products recorded an annual growth rate of 6.5 percent in May 2023. (Figure 6, and Tables 3 and 3a)

The deceleration in the annual growth rate of VaNSI for manufacture of food products in May 2024 was primarily driven by the annual drop in manufacture of grain mill products, starches and starch products at 2.8 percent during the month, from an annual increase of 7.6 percent in the previous month.

Other primary contributors to the slower year-on-year growth rate of VaNSI for manufacture of food products were the slower annual increase observed in manufacture of dairy products at 3.9 percent during the month, from an annual increment of 8.0 percent in the previous month; and the faster annual decline of processing and preserving of fish, crustaceans and mollusks at 8.5 percent during the month, from an annual decrease of 0.7 percent in the previous month. (Table 3a)

4. Volume of Net Sales Index (VoNSI)

The VoNSI for the manufacturing section registered an annual decline of 0.3 percent during the month after exhibiting an annual increment of 7.7 percent in April 2024. This brings the average growth rate of VoNSI for manufacturing from January to May 2024 to -0.3 percent. VoNSI for manufacturing recorded an annual increase of 1.2 percent in May 2023. (Figure 5, and Tables A and 4)       
                        
The annual drop of VoNSI for manufacturing in May 2024, from an annual increase in April 2024, was mainly attributed to the annual decline in the manufacture of basic metals at 14.5 percent in May 2024, from an annual increase of 7.7 percent in the previous month. The manufacture of basic metals contributed 18.9 percent to the downtrend of VoNSI for the manufacturing section in May 2024.

Other main contributors to the downtrend of VoNSI for manufacturing in May 2024 were the slower annual increases in the manufacture of fabricated metal products, except machinery and equipment at 10.3 percent during the period, from an annual growth rate of 48.7 percent in the previous month; and manufacture of computer, electronic and optical products at 5.2 percent during the period from an annual increase of 11.6 percent in April 2024.

Furthermore, 7 out of the 19 remaining industry divisions exhibited annual decrements during the period. Meanwhile, 12 industry divisions posted annual increases in May 2024 in which the manufacture of wood, bamboo, cane, rattan articles and related products posted the highest annual uptick of 23.7 percent during the period. (Tables F and 4)

The top three industry divisions contributing to the overall year-on-year growth of VoNSI for manufacturing in May 2024 were the following:

                             a.    Manufacture of basic metals;     
                             b.    Manufacture of electrical equipment; and    
                             c.    Manufacture of other non-metallic mineral products.

For manufacture of food products, its VoNSI recorded a slower annual increase of 0.8 percent in May 2024 as compared with its annual increase in April 2024 of 3.5 percent. The VoNSI for manufacture of food products recorded an annual growth rate of 3.2 percent in May 2023. (Figure 6, and Tables 4 and 4a)

The slower year-on-year increment of VoNSI for manufacture of food products in May 2024 was primarily driven by the annual drop in manufacture of grain mill products, starches and starch products at 4.4 percent during the month, from an annual increase of 6.6 percent in the previous month.

Other primary contributors to the slower year-on-year growth rate of VoNSI for manufacture of food products were the slower annual increments observed in the manufacture of dairy products at 5.2 percent in May 2024, from an 8.9 percent annual increase in April 2024; and in the manufacture of vegetable and animal oils and fats at 17.6 percent during the month, from an annual increase of 22.0 percent in the previous month. (Table 4a)

B. Average Capacity Utilization Rate

Based on responding establishments, the average capacity utilization rate for the manufacturing section in May 2024 was reported at 75.5 percent, from 75.3 percent capacity utilization in the previous month. In May 2023, the average capacity utilization rate was recorded at 73.5 percent.

All industry divisions reported capacity utilization rates of more than 60.0 percent during the month. The top three industry divisions in terms of reported capacity utilization rate were manufacture of machinery and equipment except electrical (83.4%), manufacture of other non-metallic mineral products (82.1%), and manufacture of rubber and plastic products (81.2%). (Table 6)

The proportion of establishments that operated at full capacity (90% to 100%) was 28.1 percent of the total number of responding establishments. Meanwhile, 42.4 percent operated at 70 to 89 percent capacity, and 29.4 percent operated below 70 percent capacity. (Table B)

CLAIRE DENNIS S. MAPA, PhD          
Undersecretary          
National Statistician and Civil Registrar General

 

 

 

 

 

 

 

 

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