************************************************************
According to the provisional results of a survey released today (June 12) by the Census and Statistics Department (C&SD), the index of industrial production for the manufacturing sector as a whole decreased by 10.2% in the first quarter of 2009 compared with a year earlier, following a 10.6% year-on-year decrease in the fourth quarter of 2008. The corresponding producer price index decreased by 1.4% in the first quarter of 2009 compared with a year earlier, as against a 3.9% year-on-year increase in the fourth quarter of 2008.
Indices of industrial production reflect changes in the volume of local manufacturing output after discounting the effect of price changes. The price changes are measured by the producer price indices for manufacturing industries compiled from data on producer prices of industrial goods/services collected from the same survey.
Comparing the first quarter of 2009 with a year earlier, decreases in manufacturing output were recorded for all industry groups. The wearing apparel industry had the largest decrease in output (-31.2%), followed by the textiles industry (-22.5%); the metal, computer, electronic and optical products, machinery and equipment industry (-13.2%); the paper products, printing and reproduction of recorded media industry (-8.2%); and the food, beverages and tobacco industry (-5.3%).
On a seasonally adjusted basis, the index of industrial production for the manufacturing sector as a whole decreased by 2.9% in the first quarter of 2009 as compared with the fourth quarter of 2008.
Producer price indices reflect changes in the prices of local manufacturing output. They measure changes in the actual prices (net of any discounts or rebates allowed to buyers, plus any surcharges) received by manufacturers. Transportation and other incidental charges are not included.
Comparing the first quarter of 2009 with a year earlier, the metal, computer, electronic and optical products, machinery and equipment industry had the largest decrease in producer price (-4.4%), followed by the paper products, printing and reproduction of recorded media industry (-2.5%).
On the other hand, an increase in producer price was seen in the food, beverages and tobacco industry (+6.3%) in the first quarter of 2009 over a year earlier.
Comparing the first quarter of 2009 with the fourth quarter of 2008, the producer price index for the manufacturing sector as a whole decreased by 2.5%.
Table 1 shows the year-on-year percentage changes in the indices of industrial production by industry group. Table 2 shows the year-on-year percentage changes in the producer price indices by industry group.
The revised figures on indices of industrial production and producer price indices for manufacturing industries for the first quarter of 2009 will be released at the website of the C&SD (www.censtatd.gov.hk/hong_kong_statistics/index.jsp) and relevant publications of the Department starting from 23 July 2009.
The classification of industrial establishments follows the Hong Kong Standard Industrial Classification (HSIC), which is used in various economic surveys for classifying economic units into different industry classes. Upon the implementation of the new HSIC Version 2.0 by the C&SD in October 2008, the Quarterly Survey of Industrial Production has been enhanced to adopt the HSIC Version 2.0 in compiling the industrial production statistics. Starting from the first quarter of 2009, all the indices of industrial production and producer price indices for various manufacturing industries are compiled based on the HSIC Version 2.0, and the base period of these indices has been changed to 2008 (i.e. with the quarterly average of these indices in 2008 taken as 100).
The series of indices of industrial production and producer price indices for various manufacturing industries under the HSIC Version 2.0 have also been backcasted to the first quarter of 2005. Readers who are interested in the backcasted series or have enquiries about the survey results may contact the Industrial Production and Tourism Statistics Section of the C&SD (Tel: 2805 6643; Fax: 2123 1048; E-mail: ind-production@censtatd.gov.hk).
The C&SD has recently conducted a review on the printing of statistical publications and has decided that the print versions of the reports on Quarterly Index of Industrial Production and Quarterly Producer Price Indices for Manufacturing Industries will no longer be produced starting from the 2009 series. Nevertheless, these publications are still available for downloading free of charge from the website of the C&SD at (http://www.censtatd.gov.hk/products_and_services/products/publications/statistical_report/commerce_and_industry/index.jsp).
Ends/Friday, June 12, 2009
Issued at HKT 16:30
NNNN
