The Philippines’ manufacturing output has continued its growth in April 2018, recording double-digit increases in both volume and value compared to the same period last year, according to data from the Philippine Statistics Authority (PSA).
In its latest Monthly Integrated Survey of Selected Industries (MISSI), PSA said Volume of Production Index (VoPI) was recorded at 31.1% in April 2018, significantly higher than the 0.1% growth in the same period last year.
The Value of Production Index (VaPI) registered a growth of 31.7% in April 2018, a turnaround from the 1.6% decline in the same month in 2017.
This puts the three-month moving average growth rate of the two indexes at 23.3% and 23%, respectively. The April growth was also the fourth consecutive month of increments after a series of declines in the last few months of 2017.
Growth in production of food and export-oriented products (processed food, chemicals, fabricated metals, leather, petroleum, non-metallic minerals, electrical and non-electrical machinery, among others) contributed to the gains.
Higher government spending on infrastructure in the months leading to April helped sustain growth in construction-related manufactures, which continued its upward trend given higher demand for non-metallic mineral products, particularly cement.
The National Economic and Development Authority (NEDA) said the new law—Ease of Doing Business and Efficient Government Service Delivery Law—will also boost business sentiment. The law was created to streamline procedures, shorten processing time for government transactions, and create a central business portal to receive and obtain data involving business-related transactions.
“A bullish business outlook is expected for the entire second quarter on the back of robust economic growth. An expansion of businesses will also be facilitated thanks to the new law on ease of doing business,” NEDA officer-in-charge and undersecretary Jose Miguel R. de la Rosa said in a statement.
“The full implementation of the Ease of Doing Business Act of 2018 and engagement in massive and coordinated capacity-building initiatives will help the manufacturing sector grow further,” he added.
