Value of Net Sales Index (VaNSI) accelerated as it posted an annual growth of 7.1 percent in October 2012. This was due to the increase in sales value of the eleven major sectors led by footwear and wearing apparel, with a three-digit growth of 126.9 percent. This was followed by other five major sectors that posted two-digit increases, namely: beverages (56.8%), non-metallic mineral products (50.9%), electrical machinery (34.0%), publishing and printing (30.6%) and food manufacturing (11.1%). Refer to Tables 2-A and 3.

On a monthly comparison, VaNSI continued to grow at 7.6 percent in October 2012. Eleven major sectors contributed to the increase in sales output with significant expansion noted in the following: beverages (42.1%), electrical machinery (39.3%), footwear and wearing apparel (19.6%), wood and wood products (16.7%) and non-metallic mineral products (10.4%). Refer to Tables 2-A and 3.

Volume of Net Sales Index (VoNSI) continued to gain at a faster rate of 10.1 percent in October 2012, compared with the previous month's growth of 4.1 percent. Footwear and wearing apparel contributed significantly to the increase with 135.3 percent growth, followed by major sectors that registered two-digit growth in net sales volume, namely: beverages (56.7%), non-metallic mineral products (51.6%), electrical machinery (49.9%), publishing and printing (23.1%), wood and wood products (18.1%) and machinery except electrical (15.2%). Refer to Tables 2-B and 4.

On a month-on-month basis, VoNSI also went up by 8.6 percent in October 2012. Sectors that influenced the increase were the following: beverages (42.1%), electrical machinery (40.9%), footwear and wearing apparel (18.8%), wood and wood products (16.7%) and non-metallic mineral products (12.0%). Refer to Tables 2-B and 4.

Average capacity utilization in October 2012 for total manufacturing stood at 83.4 percent. Eleven of the 20 major sectors registered capacity utilization rates of 80 percent or more, namely:

• petroleum products (87.9%)
• basic metals (87.6%)
• food manufacturing (86.7%)
• electrical machinery (85.3%)
• machinery except electrical (84.3%)
• non-metallic mineral products (83.5%)
• rubber and plastic products (82.7%)
• chemical products (82.0%)
• paper and paper products (81.8%)
• miscellaneous manufactures (81.3%)
• wood and wood products (80.4%)

The proportion of establishments that operated at full capacity (90% to 100%) was 19.9 percent in October 2012. About 56.2 percent of the establishments operated at 70% to 89% capacity while 23.9 percent of the establishments operated below 70% capacity.

The Monthly Integrated of Selected Industries (MISSI) is one of the designated statistical activities undertaken by the National Statistics Office to provide flash indicators on the performance of growth-oriented industries in the manufacturing sector. The survey gathers monthly data on employment, compensation, production, net sales, inventories and capacity utilization.

Beginning with the January 2012 MISSI, the monthly report for the survey will be released earlier, that is, 45 days after each reference month instead of the 55 days.

The indicators generated from the 2012 MISSI are Value of Production Index (VaPI), Volume of Production Index (VoPI), Value of Net Sales (VaNSI), and Volume of Net Sales (VoNSI). However, the VoPI and VoNSI are derived indicators utilizing the 2012 Producer Price Index as deflator.

The MISSI utilizes the Laspeyres-type method of index computation where the weights are computed from the value of production of the Census of Philippine Business and Industry (CPBI).

For the 2012 MISSI index series with base year of 2000, the weights of the major sectors and sub-sectors were computed from the results of the 2000 CPBI for manufacturing establishments with average total employment of 20 and over. The weights are computed from the value of products sold plus change in inventories.

The formulas in the computation are as follows:

The industry coverage of the 2012 MISSI conforms with the amended 1994 PSIC groupings. There are 20 major sectors as shown below with 10 further disaggregated into sub-sectors.

1994 PSIC CODE	INDUSTRY DESCRIPTION
15 except 155	Food Manufacturing*
155	Beverages
16	Tobacco products
17	Textiles*
18,174 and 192	Footwear and wearing apparel
191	Leather products
20	Wood and wood products*
21	Paper and paper products
22	Publishing and printing
23	Petroleum products*
24	Chemical products*
25	Rubber and plastic products*
26	Non-metallic mineral products*
27	Basic metals*
28	Fabricated metal products
29 and 30	Machinery except electrical*
31 and 32	Electrical machinery*
34 and 35	Transport equipment
36	Furniture and fixtures
33, 37 and 39	Miscellaneous manufactures

                                             Note: * - Major sectors categorized into sub-sectors

The response rates for the October 2012 MISSI and 2012 PPS are 82.6 percent and 92.7 percent, respectively. Refer to Tables 7 and 8