-
Philippine manufacturers continued growing in volume and value for the 15th consecutive month in June, according to the Philippine Statistics Authority
-
The Volume of Production Index improved 2.4% year on year while the Value of Production Index gained 9.8%
-
Machinery and equipment manufacturing reported the highest growth in both VoPI and VaPI
-
The manufacturing sector’s average capacity utilization rate in June edged up to 71.1% from 70.9% in May
The Philippine manufacturing sector was on a growth path for the 15th consecutive month in June 2022, according to the Philippine Statistics Authority (PSA).
The Volume of Production Index (VoPI) improved 2.4% year-on-year in June, faster than the previous month’s 0.9% but far slower than the 448.2% upsurge in June 2021, according to PSA’s latest Monthly Integrated Survey of Selected Industries (MISSI).
The Value of Production Index (VaPI) also continued its uptrend, advancing 9.8% y-o-y in June, from a 8% y-o-y growth in May. However, growth was much slower than the 440.5% in June last year.
The June index is the third consecutive month of one-digit growth after both VoPI and VaPI recorded a string of double-digit and triple-digit monthly increases since April 2021.
RELATED READ: PH manufacturing grows slowly but surely in May
VoPI and VaPI returned to growth in April 2021 after 13 consecutive months of decline due to COVID-19-related restrictions imposed in the country starting in March 2020 that pulled down the sector’s production and sales indices.
The VoPI growth stemmed from an improvement in 13 industry divisions, with the fastest growth of 45.3% reported in the manufacture of machinery and equipment, except electrical. On the contrary, nine industry divisions recorded decreases, with printing and reproduction of recorded media declining the fastest at 25.1%.
VaPI’s gain, meanwhile, came from the positive growth posted by 16 industry divisions. Among these were manufacture of machinery and equipment except electrical, which reported the highest growth of 51.8% y-o-y. The remaining six industry divisions reported contractions, with printing and reproduction of recorded media registering the fastest decline of 25.1% y-o-y.
Based on the establishments that responded to MISSI’s survey, the average capacity utilization rate of manufacturing sector in June was 71.1% from 70.9% in the previous month.
There were 20 out of 22 industry divisions with a more than 60% average capacity utilization rate. These were led by manufacture of fabricated metal products, except machinery and equipment at 81.4%, manufacture of furniture at 80.0%, and manufacture of wearing apparel, 78.9%.
One-fourth or 25.7% of the responding establishments operated at full capacity of between 90% and 100%. Meanwhile, 34.8% operated at 70% to 89% capacity, while 39.5% operated below 70% capacity.
