Philippine manufacturing sector slows down

The Philippine manufacturing sector slowed down with January’s factory output declining by 19.9% year on year, the country’s statistics agency said. The National Statistics Office (NSO)reported sharp declines in all major manufacturing sectors. Production of petroleum products, basic metals, furniture, paper, electrical machinery, apparel and chemical products all posted a double-digit drop in production as compared to last year’s output. Only rubber, plastic and non- metallic mineral products registered a slight increase in production. Most of the manufacturing firms surveyed by the NSO operated below their full capacity. Average capacity utilization in January 2009 for total manufacturing was estimated at 77.5%. Of the 300 companies surveyed by the agency, only 11.9% of the respondents were operating at a full 90 to 100% capacity utilization rate. (March 24, 2009)