VALUE OF PRODUCTION INDEX (VPI)
The value of production index (VPI) in key manufacturing enterprises slightly increased by 0.1 percent to 453.0 in February 1997 from 452.5 a year ago. On a month-on-month comparison, VPI increased by 10.4 percent from 410.4 last January 1997. These figures were based on the results of the Survey of Key Enterprises in Manufacturing (SKEM), a regular monthly survey of the National Statistics Office (NSO) aimed to provide flash indicators on the performance of key manufacturing enterprises.
Double-digit month-on-month relative increases were observed in four (4) sectors. Electrical machinery posted the biggest share of 46.1 percent. Second significant contributor to the month-on-month increase was transport equipment (14.3%). Food manufacturing and textiles turned in shares of 11.6% and 11.0% to the VPI growth.
Basic metals, on the other hand, highly affected VPI growth on a month-on-month basis contributing 82.1% to the negative effects on the growth rate.
Year-on-year increases were observed in 10 out of 16 major sectors. In terms of the relative shares on the positive component of year-on-year growth of VPI, electrical machinery contributed almost half, 45.9%, to the total increase. The increase in electrical machinery was attributed to the gains in electrical wires and wiring products and microcircuits. These were among the top export products which registered a 22.1 percent increase in export receipts as compared with last year. Wood and wood products had a 13.6% share to the positive year-on-year growth followed by chemicals with an 11.6% share and non-metallic mineral products with a 10.6% contribution.
On the other hand, double-digit year-on-year decreases in VPI can be attributed to the significant decreases observed in five sectors. Textile and basic metals posted the biggest shares of 28.5% and 28.2%, respectively, to the negative aspect of the year-on-year performance. The wearing apparel sector had a 17.5% share while paper and paper products and transport equipment had 12.6% and 10.6%, respectively, in the year-on-year decrease in VPI.
VALUE OF PRODUCTION INDEX
GAINERS OVER LAST MONTH MONTH-ON-MONTH CONTRIBUTION TO THE
(unweighted) GROWTH OVERALL GROWTH RATE
Tobacco 41.4% 1.3%
Electrical Machinery 26.3% 46.1%
Misc. Manufactures 24.9% 1.8%
Transport Equipment 20.4% 14.3%
Textile 12.5% 11.0%
Rubber Products 11.4%. 2.8%
Wood & Wood Products 8.8% 5.3%
Food Manufacturing 3.5% 11.6%
Furniture & Fixtures 2.6% 0.2%
Wearing Apparel 1.8% 1.8%
Chemicals 1.7% 2.6%
Paper & Paper Products 1.2% 0.8%
Non- Metallic Mineral Products 0.8% 0.5%
LOSERS OVER LAST MONTH MONTH-ON-MONTH CONTRIBUTION TO THE
(unweighted) GROWTH OVERALL GROWTH RATE
Basic Metals -16.0% -82.1%
Beverage - 5.8% - 9.2%
Petroleum Products - 0.6% - 8.7%
GAINERS OVER LAST YEAR YEAR-ON-YEAR CONTRIBUTION TO THE
(unweighted) GROWTH OVERALL GROWTH RATE
Electrical Machinery 28.8% 45.9%
Wood & Wood Products 24.9% 13.6%
Non-Metallic Mineral Products 20.3% 10.6%
Furniture & Fixtures 12.9% 1.1%
Misc Manufactures 11.0% 0.7%
Beverage 10.1% 3.3%
Chemicals 8.5% 11.6%
Food Manufacturing 7.8% 7.8%
Petroleum Products 1.8% 5.3%
Tobacco 0.8% 0.0%
LOSERS OVER LAST YEAR YEAR-ON-YEAR CONTRIBUTION TO THE
(unweighted) GROWTH OVERALL GROWTH RATE
Textile -30.9% -28.5%
Basic Metals -23.2% -28.2%
Paper & Paper Products -18.7% -12.6%
Wearing Apparel -16.3% -17.5%
Transport Equipment -14.3% -10.6%
Rubber Products -10.2% - 2.6%
VOLUME OF PRODUCTION INDEX (VoPI)
The Volume of Production Index (VoPI) is derived from Value of Production Index (VPI) and Producer's Price Index (PPI) with 1992 as the base year. The index is a measure of change in volume, net of inflation.
On a month-on-month basis, the VoPI increased by 10.0 percent from 137.8 in January 1997. Electrical machinery increased by 26.3 percent which represented 45.6 percent of the positive component of the growth. Transport equipment grew by 20.4 percent and this had a 14.2 percent share of the VoPI growth. The 12.6 percent growth of textile and 3.2 percent growth of food had corresponding shares to total growth of 10.9 percent and 10.5 percent respectively. While tobacco posted the highest increase of 41.4 percent; it contributed only 0.9 percent to total growth.
On the other hand, basic metals posted the biggest decline of 16.5 percent followed by wearing apparel at 7.8 percent.
In February 1997, the VoPI of 151.5 for key manufacturing enterprises decreased by 1.8 percent as compared with the index of 154.3 a year ago. Last December 1996 and January 1997 the decreases were in the 8 percent range. Electrical machinery registered the highest year-on-year increase of 29.5 percent from 241.2 to 312.3 and it contributed 44.6 percent to the year-on-year growth. Other sectors that posted double-digit increases were food (with a 6.5 percent growth and a share of 18.4 percent), and wood and wood products (with a 28.2 percent increase and a contribution of 14.6 percent to total growth).
On the other hand, notable year-on-year decreases were observed in 5 sectors. Wearing apparel posted the biggest decline of 40.3 percent from 67.8 to 40.5. Other sectors that posted declines and weighed down on the growth of the VoPI were petroleum refineries (9.8 percent), paper and paper products (36.3 percent), and basic metals (17.1 percent).
February 1997 SKEM covered 422 sample establishments located mostly in Metro Manila and engaged primarily in manufacturing. This report is based on a response rate of 79.9 percent.
VOLUME OF PRODUCTION INDEX
GAINERS OVER LAST MONTH MONTH-ON-MONTH CONTRIBUTION TO THE
(unweighted) GROWTH OVERALL GROWTH RATE
Tobacco 41.4% 1.3%
Electrical Machinery 26.3% 45.6%
Other Manufacturing Industries 24.8% 1.8%
Transport Equipment 20.4% 14.2%
Wood and Wood Products 14.0% 8.3%
Textile 12.6%. 10.9%
Rubber Products 11.4% 2.8%
Non-Metallic Mineral Products 4.1% 2.3%
Food Manufacturing 3.2% 10.5%
Furnitures and Fixtures 2.6% 0.2%
Chemicals 1.2% 1.8%
Petroleum Products 0.1% 0.2%
LOSERS OVER LAST MONTH MONTH-ON-MONTH CONTRIBUTION TO THE
(unweighted) GROWTH OVERALL GROWTH RATE
Basic Metals -16.5% -62.4%
Wearing Apparel -7.8% -26.1%
Beverage -5.8% -6.8%
Paper and Paper Products -2.2% -4.7%
GAINERS OVER LAST YEAR YEAR-ON-YEAR CONTRIBUTION TO THE
(unweighted) GROWTH OVERALL GROWTH RATE
Electrical Machinery 29.5% 44.6%
Wood & Wood Products 28.2% 14.6%
Other Manufacturing Industries 19.6% 1.2%
Beverage 18.1% 5.6%
Non-Metallic Mineral Products 17.0% 8.5%
Furniture & Fixtures 11.8% 1.0%
Food Manufacturing 6.5% 18.4%
Chemicals 4.8% 6.2%
LOSERS OVER LAST YEAR YEAR-ON-YEAR CONTRIBUTION TO THE
(unweighted) GROWTH OVERALL GROWTH RATE
Wearing Apparel -40.3% -27.2%
Paper and Paper Products -36.3% -15.3%
Textile -28.5% -16.4%
Basic Metals -17.1% -13.0%
Transport Equipment -11.5% -5.3%
Petroleum Refineries -9.8% -21.0%
Rubber Products -9.5% -1.5%
Tobacco -8.8% -0.2%
