1 PRESENTATIONFOR USERS PRODUCERS WORKSHOP USERS PRODUCERS WORKSHOP Industrial Statistics AT SBP KARACHI MAY 8-9, 2006

2 Introduction CMI is conducted under the Industrial Statistics Act 1942 in collaboration with, Provincial Directorates of Industries & Provincial Bureaus of Statistics Objectives CMI measures production and structural changes of large scale manufacturing and provides basic data on Fixed Assets, Employment & Employment Cost, Industrial Taxes, Value of Input & Output and Census Value Added etc. It also provides weights for the QIM Census of Manufacturing Industries (CMI)

3 Scope and Coverage CMI covers establishments engaged in manufacturing activities for part or whole of the year with single or joint ownership/control and are registered under Factories Act However, defence manufacturing workshops are excluded from the preview of CMI Frequency: After every five Years. Last CMI was done in Census of Manufacturing Industries (CMI)

4 QIM Weights Census of Manufacturing Industries (CMI) Basis is CMI Census value added: = Census value of production = - - Industrial cost - - Indirect taxes + + Subsidies Weights at industry level are derived as % of total large scale manufacturing

5 Weights derived from CMI Ind. Code IndustryWeights Food Manufacturing Beverage Industry Tobacco Manufacturing Textile Manufacturing Wearing Apparel Leather and Leather Products Footwear Ginning of Fibre Wood and Wood Products

6 Ind. Code IndustryWeights 332Furniture Paper and Products Printing and Publishing Pharmaceuticals Industrial Chemicals Other Chemicals , 354 Petroleum Refining Rubber Products Plastic Products Weights derived from CMI

7 Ind. Code IndustryWeights 361 Pottery, ceramics Glass Products Other non-metal Products Iron and Steel Non-Ferrous Metals , 381 Metal Products Machinery Electrical Machinery Transport Equipment Weights derived from CMI

8 Ind. Code IndustryWeights 385 Measuring Instruments Optical Goods Handicrafts Sports and Athletic Goods , 394 Other Manufacturing Industries Large Scale Manufacturing Weights derived from CMI

9 Quantum Index of Large Scale Manufacturing Industries (QIM) QIM is the indicator of real growth rate of value added of Large Scale Manufacturing Industries Present base: Frequency: monthly/annual No. of items covered: 100 Weight covered: 75.08% of the total value added Formula used:Laspeyer’s          x Wi QoQo QnQn In = X 100 Wi Where I n = Index for the nth period, Q n = Quantity of an item in the nth period (current period), W i = Weight of ith item value in base period, and Wi = P o = Price of ith item and Q o = Quantity of ith item in the base period QoPo 

10 Quantum Index of Large Scale Manufacturing Industries (QIM) Sources No of Items WeightOCAC MO Ind BOS ALL Sources of Data  Oil Companies Advisory Committee (OCAC),  Ministry of Industries & Production and  Provincial Bureaus of Statistics  National Refinery Ltd, Pakistan Electrical Manufacturers Association, Pakistan Cotton Crop Assessment Committee

11 Scope SHMI covers all un-registered household units & small establishments engaged in manufacturing activities having less than 10 employees. Objective SHMI measures production and structural changes in small scale manufacturing establishments and household manufacturing units. It provides data on employment and employment cost, input and output value, value added in the small scale manufacturing sector Survey of Small Scale & Household Manufacturing Industries (SHMI)

12 Frequency Conducted every ten years Growth Rate Inter census growth rate of value added is worked out for the purpose of GDP which is applied constantly till next survey Survey conducted for rebasing in estimated growth rate at 7.51 % which is being applied to work out gross value added for Small Scale Manufacturing sector since Survey of Small Scale & Household Manufacturing Industries (SHMI)

13  CMI data is collected by Provincial Directorates of Industries through mail enquiry resulting in poor response and longer time in retrieval of schedules  Manpower, Transport &Computing equipment constraints being faced by Provincial Bureaus and Directorates of Industries  Frame of the manufacturing establishments, developed by Provincial Directorates of Labour, need improvement Limitations

14 Plan for Improvement Need to develop a business register, which should:  be continuously updated  cover all private & public economic activity  classify the economic activities  comprise some main economic quantities like No. of Employees, Capacity, Annual Sales, etc Crucial point will be the provision & updation of addresses by public & private sectors establishments on regular basis