Philippine manufacturing growth slows to 3.4% in April

Philippine manufacturing continued to grow in April, albeit at a slower pace, with textiles accounting for the biggest share of the growth.

Data from the Philippine Statistics Authority (PSA) released on Thursday showed that the volume of production index (VoPI) climbed by 3.4% from the past year, slower than the 352.3% in March and 157.8% in April 2021.

Fourteen out of the 22 industry divisions recorded expansions, led by the manufacture of textiles, which contributed 45.6% to the annual growth rate.

Eight industry divisions showed declines during the month, led by the manufacture of equipment, which fell by 28.1% during the month.

The value of the production index (VaPI) increased by 9.7% during the month, slower than the 375.1% in March and the 150.1% growth recorded in the same month in 2021.

Sixteen out of the 22 industry divisions recorded an expansion, led by the manufacture of textiles, which increased by 51.1%. Six industry divisions posted annual decreases, led by the manufacture of electrical equipment, which fell by 25.4%.

The value of the net sales index increased by 20.1%, slower than March’s 21.2% and April 2021’s 180.5%. The volume of the net sales index also cooled to 13.3% from 15.4% the previous month and 189.1% in April 2021.

The average capacity utilization for the month was 69.2%, lower than the 70.9% recorded in the past month.

Eighteen out of the 22 industry divisions reported average capacity utilization rates above 60%, led by the manufacture of furniture (up 79.2%), other non-metallic mineral products (up 79.0%), and wearable apparel (up 77.8%).

There were 21.7%, or 128 of the 589 respondents, that operated at full capacity (90% to 100%) during the month. —VBL, GMA News