Statistics on Msmes

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STATISTICS ON MSMEs: AN OVERVIEW OF THE STATUS OF SMALL BUSINESSES IN THE PHILIPPINES

Number of Establishments As of 2006 count, there are 783,065 business enterprises operating in the Philippines. Of these:  Micro, small, and medium enterprises (MSMEs) - 99.7% (780,469) o Micro enterprises - 92% (720,191) o Small - 7.3% (57,439) o Medium - 0.4% (2,839)  Large enterprises - 0.3% (2,596)

Sectoral Distribution Of the 780,469 MSMEs in operation in 2006:  Wholesale and retail trade industries - 391,215 business establishments  Manufacturing - 116,361  Hotels and restaurants - 97,926  Real estate, renting, and business activities - 45,293  Community, social, and personal services - 44,658 These industries accounted for about 89.1% of the total number of SME establishments. Top 5 sub-industries in the manufacturing sector in terms of MSME establishments in 2006:  Manufacture of food products and beverages - 55,007 establishments  Manufacture of wearing apparel - 15,623  Manufacture of fabricated metal products except machinery and equipment -12,986  Manufacture and repair of furniture - 7,188  Manufacture of other non-metallic mineral products - 5,143. These sub-industries accounted for 82.4% of the total number of MSMEs in the manufacturing sector.

Geographical Spread of MSMEs Of the number of MSMEs in operation in 2006:  National Capital Region (NCR) - 194,549 business establishments  Region 4-A (CALABARZON) - 113,581  Region 3 (Central Luzon) - 84,175  Region 6 (Western Visayas) - 46,195;  Region 1 (Ilocos) - 44,085. These top five (5) locations accounted for about 61.8% of the total number of MSME establishments in the country.

Prepared by: Mar B. Cruz

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Employment MSMEs generated a total of 3,327,855 jobs in 2006 versus 1,657,028 for the large enterprises. This indicates that MSMEs contributed almost 70% of the total jobs generated by all types of business establishments that year. Of these:  micro enterprises - 33.5% or 1,667,824 jobs  small enterprises - 25.7% or 1,279,018  medium enterprises - 7.6% or 381,013 By industry sector, MSMEs in the:  Wholesale and retail trade - 1,181,525 jobs  Manufacturing - 644,927  Hotels and restaurants - 427,153  Real estate, renting, and business activities - 242,122  Education - 180,265 By geographical scope, MSMEs in the:  National Capital Region (NCR) - 1,173,464 jobs  Region 4-A (CALABARZON) - 452,168  Region 3 (Central Luzon) - 311,226  Region 7 (Central Visayas) - 219,937  Region 6 (Western Visayas) - 184,398

Sales and Census Value-Added MSMEs contribute around 30% of the total sales and census value-added in the manufacturing industry, according to the National Statistics Office (NSO) 1994 documents.

Exports Contribution of MSMEs MSMEs account for 25% of the country’s total exports revenue*. It is also estimated that 60% of all exporters in the country belong to the MSME category. MSMEs are able to contribute in exports through subcontracting arrangement with large firms, or as suppliers to exporting companies.
*Source: Bridging the Gap: Philippine SMEs and Globalization, Small Enterprises Research and Development Foundation (SERDEF), Inc., and UP-ISSI, 2001

Source: http://dti.gov.ph/dti/index.php?p=321

Prepared by: Mar B. Cruz