PHL industry production surpasses 10% growth forecast

By Kris M. Crismundo

MANILA, July 10 (PNA) — Industry production in May 2014 has increased by 13.8 percent, surpassing the 10 percent growth forecast of Moody’s Analytics.

In Monthly Integrated Survey of Selected Industries (MISSI) for the month of May reported by the Philippine Statistics Authority (PSA) Thursday, the positive growth of volume of production index (VoPi) of the manufacturing sector in May was pushed by strong production of printing sector which surged by 227.7 percent.

Likewise, 10 other sectors manifested a double-digit growth in May. These sectors are fabricated metal products which increased its production by 58.3 percent; beverages production went up by 31.5 percent; tobacco products, up by 30.8 percent; wood and wood products, up 20.8 percent; petroleum products, up by 18.9 percent; textiles, up by 16.4 percent; machinery except electrical, up by 13.2 percent;, electrical machinery, up by 13.1 percent; transport equipment, up by 12.8 percent; and basic metals, up by 12.7 percent.

Last week, Moody’s Analytics projected that industry production of the Philippines will post a 10 percent growth for the month of May.

The VoPi in May 2014, however, was slower than May 2013’s growth of 20.2 percent but higher than April 2014’s 12.8 percent growth.

Likewise, value of production index (VaPi) of local industries in May went up by 12.6 percent which is higher than last year’s (VaPi) of 8.8 percent.

Average capacity utilization of the total manufacturing sector in May 2014 was at 83.5 percent as 11 out of 20 major industries operated at 80 percent and above capacity utilization rates.

These industries which operated 80 percent and above capacity utilization rates are petroleum products at 89 percent; basic metals at 87.9 percent; non-metallic mineral products at 86.2 percent; food manufacturing at 84.7 percent; machinery except electrical at 84.7 percent; electrical machinery at 84.4 percent; chemical products at 84 percent; paper and paper products at 82.9 percent; rubber and plastic products at 82.4 percent; publishing and printing at 82.1 percent; and wood and wood products at 81.5 percent. (PNA)