Factory output rebounds in April

MANILA, Philippines — Local factory output expanded in April, a turnaround from the decline in the previous month, due mainly to the increase in food production, according to the Philippine Statistics Authority (PSA).

Preliminary results of the Monthly Integrated Survey of Selected Industries showed the Volume of Production Index (VoPI) registered 6.7 percent growth in April from the 5.8 percent contraction in March.

The growth in April, however, was slower than the eight percent uptick in the same month last year.

According to the PSA, food production was the main driver for the VoPI growth as the sector picked up by 6.8 percent in April from a 13.2-percent decline in March.

Also cited as primary contributors to the expansion were the manufacture of transport equipment and fabricated metal products, except machinery and equipment.

Transport equipment posted a 5.1-percent increase in April from a 12-percent drop in March.

Fabricated metal products, except machinery and equipment jumped by 32.3 percent in April from a 3.1-percent contraction in March.

The PSA said the average capacity utilization rate for manufacturing in April was at 75.2 percent, down slightly from the previous month’s 75.3 percent, but higher than the 72.5 percent in April 2023.

“All industry divisions reported capacity utilization rates of more than 60 percent during the month,” the PSA said.

Reporting the highest capacity utilization rates in April were manufacture of other non-metallic mineral products at 82.1 percent, manufacture of furniture at 81.9 percent and manufacture of textiles at 80.1 percent.

Of the total number of responding establishments, 28.8 percent were running at full capacity (90 percent to 100 percent) in April.

Meanwhile, 42.3 percent operated at 70 to 89 percent capacity and 28.9 percent were running below 70 percent capacity.