Philippine factory gate prices rose 0.8% in Feb, says PSA

Workers sort fishes on the production line of canned sardines inside a manufacturing plant in Santo Tomas, Batangas on March 1, 2023. (Photo by JAM STA ROSA / AFP)

MANILA, Philippines — Factory gate prices continued to rise in February, driven by the uptick in the selling prices of coke and refined petroleum products manufacturers.

Data released by the Philippine Statistics Authority (PSA) on Wednesday showed that the Producer Price Index (PPI) for the manufacturing sector posted a slightly faster annual increase of 0.8 percent in February, up from a 0.7-percent year-on-year rise recorded in January.PH factory activity ‘moderated’ in February 2025

This marks a reversal from February 2024, when the PPI saw an annual decline of 1.4 percent.

PPI is a measure of the average change over time in the selling prices received by domestic producers for their output, serving as an important indicator of inflationary trends at the wholesale level.

“Among the 22 industry divisions for manufacturing, manufacture of coke and refined petroleum products has the fourth-highest weight in the computation of PPI,” the PSA said in a statement.

The slight increase in prices was recorded despite indications that manufacturing output in the country had moderated in February.

READ: PH factory activity ‘moderated’ in February 2025

Slower price decline

The manufacture of transport equipment saw a slower decline of 0.01 percent in February compared with a 0.7-percent annual decrease in January.

Similarly, the manufacture of other non-metallic mineral products experienced a 1.7-percent decline in February, an improvement from the 3.4 percent annual decrease in the previous month.

The country’s latest PPI figure indicates a modest but continued recovery in the manufacturing sector, driven largely by the petroleum and transport equipment industries.

READ: PH factory output growth slowed in 2024