A. Year-on-year Growth for November 2023
1. Value of Production Index (VaPI)
The VaPI for manufacturing continued to increase at an annual rate of 2.2 percent in November 2023. This was faster compared with its annual growth of 1.1 percent in the previous month. In November 2022, VaPI recorded a double-digit annual increase of 13.2 percent. (Figure 2, and Tables A and 1)
The expansion in the annual growth of the VaPI in November 2023 was mainly attributed by the slower annual decrease in the manufacture of beverages at 1.4 percent in November 2023 compared with its annual drop of 26.9 percent in the previous month. The manufacture of beverages contributed 46.1 percent to the annual uptrend of VaPI for the manufacturing section in November 2023. Out of the 22 industry divisions for the manufacturing section, manufacture of beverages was the fourth industry division with the highest weight in the computation of VaPI.
Of the remaining 19 industry divisions, six exhibited annual upturns during the period. Meanwhile, 13 industry divisions posted annual reductions in November 2023. The manufacture of machinery and equipment except electrical posted the fastest annual drop of 26.9 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 November 2023 were the following:
a. Manufacture of computer, electronic and optical products;
b. Manufacture of food products; and
c. Manufacture of other non-metallic mineral products.
The VaPI for manufacture of food products registered an annual drop of 3.9 percent in November 2023. This was slower compared with its annual decline in October 2023 at 5.2 percent. In November 2022, the VaPI for manufacture of food products recorded a double-digit annual increase of 16.9 percent. (Figure 3, and Tables 1 and 1a)
The slower year-on-year decline of VaPI for manufacture of food products in November 2023 was primarily brought about by the slower annual drop recorded in the manufacture of other food products industry group at 5.3 percent in November 2023 from a double-digit annual decline of 22.2 percent in October 2023. The manufacture of other food products industry group includes bakery products, sugar, and condiments, among others.
Other contributors to the slower year-on-year downturn of VaPI for manufacture of food products were the slower decline in the manufacture of vegetable and animal oils and fats at 21.5 percent in November 2023 from 38.5 percent annual decrease in the previous month, and the annual increase in the processing and preserving of fish, crustaceans and mollusks at 6.6 percent in November 2023 from 3.5 percent annual drop in the previous month. (Table 1a)
2. Volume of Production Index (VoPI)
The VoPI for manufacturing registered a year-on-year increment of 1.9 percent in November 2023, which was faster than the annual growth rate of 1.5 percent in the previous month. In November 2022, VoPI recorded an annual increase of 6.4 percent. (Figure 2, and Tables A and 2)
The higher annual growth of the VoPI in November 2023 was mainly brought about by the same top three industry divisions that contributed to the higher annual rate of VaPI during the period. These were the following:
Manufacture of beverages, 11.6 percent annual decline from 34.4 percent annual drop in the previous month;
Manufacture of transport equipment, 17.1 percent annual increase from 5.8 percent annual increment in October 2023; and
Manufacture of chemical and chemical products, 2.4 percent annual drop from 10.9 percent annual decrease in October 2023.
Of the remaining 19 industry divisions, six registered year-on-year increases in November 2023. In contrast, 13 industry divisions posted annual declines during the period. The highest annual drop was observed in manufacture of machinery and equipment except electrical at 27.0 percent. (Tables D and 2)
The top three industry divisions contributing to the overall year-on-year growth of VoPI for manufacturing in November 2023 were the following:
a. Manufacture of computer, electronic and optical products;
b. Manufacture of food products; and
c. Manufacture of beverages.
The VoPI for manufacture of food products registered an annual drop of 5.0 percent in November 2023. This was slower compared with its annual decline of 5.7 percent in October 2023. In November 2022, VoPI for manufacture of food products recorded an annual increase of 7.7 percent. (Figure 3, and Tables 2 and 2a)
The slower annual decrease of VoPI for manufacture of food products in November 2023 was primarily driven by the slower annual decrease in the manufacture of other food products industry group at 6.8 percent during the month from 23.9 percent annual decrement in the previous month.
Other contributors to the slower year-on-year decrease of VoPI for manufacture of food products were the slower annual decline noted in manufacture of vegetable and animal oils and fats at 15.1 percent in November 2023 from an annual decrease of 32.6 percent in the previous month, and the annual increase noted in the processing and preserving of fish, crustaceans and mollusks at 1.1 percent in November 2023 from an annual decline of 4.5 percent in the previous month. (Table 2a)
3. Value of Net Sales Index (VaNSI)
The VaNSI for manufacturing recorded a faster annual decrease of 7.1 percent in November 2023 compared with its annual drop of 3.4 percent in the previous month. In November 2022, VaNSI recorded a double-digit annual increase of 19.7 percent. (Figure 5, and Tables A and 3).
The faster year-on-year decline of VaNSI during the month was primarily brought about by the faster annual decrease in the manufacture of food products industry division at 8.5 percent in November 2023 from 0.9 percent annual drop in October 2023. The manufacture of food products contributed 48.7 percent to the trend of VaNSI for the manufacturing section in November 2023.
Other primary contributors to the faster annual decline of VaNSI in November 2023 were the faster annual decreases in the manufacture of computer, electronic and optical products at 14.0 percent in November 2023 from 11.0 percent annual drop in the previous month, and manufacture of other non-metallic mineral products at 15.4 percent in November 2023 from 4.6 percent annual decrease in the previous month.
Furthermore, 14 out of the 19 remaining industry divisions exhibited annual downturns in their indices during the period, while the other five industry divisions posted annual increases. The highest year-on-year increment during the period was noted in the manufacture of basic pharmaceutical products and pharmaceutical preparations at 16.4 percent. (Tables E and 3)
The top three industry divisions contributing to the overall year-on-year growth of VaNSI for manufacturing in November 2023 were the following:
a. Manufacture of computer, electronic and optical products;
b. Manufacture of food products; and
c. Manufacture of transport equipment.
The VaNSI for manufacture of food products registered an annual decline of 8.5 percent in November 2023. This was faster compared with its annual decline of 0.9 percent in October 2023. The VaNSI for manufacture of food products recorded an annual increase of 9.1 percent in November 2022. (Figure 6, and Tables 3 and 3a)
The downturn in the year-on-year growth of the VaNSI for manufacture of food products in November 2023 was primarily driven by the faster annual decline in the manufacture of other food products industry group at 27.2 percent in November 2023 from an annual increment of 0.7 percent in the previous month. The manufacture of other food products industry group includes bakery products, sugar, and condiments, among others.
Other primary contributors to the year-on-year decrement of VaNSI for manufacture of food products were the slowdown in the annual increase in manufacture of dairy products at 9.3 percent during the month from a double-digit annual increase of 10.5 percent in the previous month, and the faster annual decline noted in the manufacture of grain mill products, starches and starch products at 29.4 percent in November 2023 from an annual drop of 28.4 percent in the previous month. (Table 3a)
4. Volume of Net Sales Index (VoNSI)
The VoNSI for manufacturing registered a faster year-on-year decrement in November 2023 at 7.3 percent relative to its annual decrease of 3.0 percent in October 2023. In November 2022, VoNSI recorded a double-digit annual increase of 12.6 percent. (Figure 5, and Tables A and 4)
The faster annual drop of VoNSI in November 2023 was mainly brought about by the same top three industry divisions that contributed to the faster annual decrease of VaNSI during the period. These were the following:
a. Manufacture of food products, 9.6 percent annual decrease from 1.4 percent annual decrement in the previous month;
b. Manufacture of computer, electronic and optical products, 16.3 percent annual decrease from 11.6 percent annual drop in the past month; and
c. Manufacture of other non-metallic mineral products, 14.5 percent annual decrease from 4.1 percent annual drop in October 2023.
Furthermore, 14 out of the 19 remaining industry divisions exhibited annual decreases during the period. Meanwhile, five industry divisions posted annual increases in November 2023. The manufacture of basic pharmaceutical products and pharmaceutical preparations posted the highest annual uptick of 16.4 percent during the period. (Tables F and 4)
The top three industry divisions contributing to the overall year-on-year growth rate of VoNSI for manufacturing in November 2023 were the following:
Manufacture of computer, electronic and optical products;
b. Manufacture of food products; and
c. Manufacture of beverages.
The VoNSI for manufacture of food products registered an annual drop of 9.6 percent in November 2023. This was faster compared with its annual decline of 1.4 percent in October 2023. The VoNSI for manufacture of food products recorded an annual increase of 0.6 percent in November 2022. (Figure 6, and Tables 4 and 4a)
The faster year-on-year decline of the VoNSI for manufacture of food products in November 2023 was primarily driven by the faster annual decline in the manufacture of other food products industry group at 28.3 percent in November 2023 from 1.5 percent annual decrement in the previous month.
Other primary contributors to the faster year-on-year decrement of VoNSI for manufacture of food products were the slowdown observed in the annual increase of manufacture of dairy products at 6.1 percent during the month from an annual increase of 8.5 percent in the previous month, and the faster annual decline noted in manufacture of grain mill products, starches and starch products at 31.2 percent in November 2023 from an annual drop of 30.1 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 November 2023 was reported at 74.8 percent from 74.3 percent in the previous month.
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 (80.8%), manufacture of transport equipment (80.8%), and manufacture of rubber and plastic products (79.9%). (Table 6)
The proportion of establishments that operated at full capacity (90% to 100%) was 24.2 percent of the total number of responding establishments. Meanwhile, 41.5 percent operated at 70 to 89 percent capacity, and 34.4 percent operated below 70 percent capacity. (Table B)
CLAIRE DENNIS S. MAPA, PhD
Undersecretary
National Statistician and Civil Registrar General
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