National production decreased 1.43% in May of this year

Nota de prensa
Produccion mar

15 de July de 2023 - 9:58 a. m.

In May of 2023, the national production decreased by 1.43% due to the contractive performance of the Manufacturing, Construction, Financial and Insurance, Fishing, Agricultural and Telecommunications sectors. While, Mining and Hydrocarbons, Other Services, Commerce, Public Administration, Electricity, Gas and Water, Transportation, Storage and Courier, Accommodation and Restaurants, as well as Services Rendered to Companies sectors had a positive contribution.
The National Institute of Statistics and Informatics (INEI) through the technical report National Production, stated that during the period January-May of this year, the productivity activity of the country decreased by 0.49%; while, it increased by 1.04% during the last twelve (June 2022-May 2023). During the month under study, the productive activity developed within the context of The Coastal El Niño Phenomenon, that affected the primary activities (agricultural and fishing), as well as the transformation (manufacture and construction).
Production of Agricultural sector decreased by 6.18%
The Agricultural sector decreased by 6.18% explained by the production of agricultural subsector (-8.31%), that registered lower volumes of starchy maize (-28.2%), cacao (-19.0%), potato (-15.7%), olive (-14.1%), coffee (-10.3%), alfalfa (-9.7%) and paddy rice (-8.2%), backed up in the lower area sown of main crops (-14.3%). In the coast region, predominated maximum and minimum temperatures due to the Coastal El Niño Phenomenon. In the Andean region were reported rains, hail and snow. In addition, in the Amazon region, cold wave with rainy precipitations and strong winds.
The livestock subsector contracted by 0.56% due to the lower volumes of eggs production (-1.4%), fresh milk (-1.0%), ovine cattle (-1.0%) and poultry (-0.9%).
Fishing production contracted by 70.60%
The Fishing sector decreased by 70.60% as a result of the lower extraction of species of marine origin (-76.15%), mainly, in the indirect human consumption area (anchovy for fishmeal and fish oil), fish catching 7 620 tons, against the 1 069 431 tons of May 2022. In that month, the fishing season was performed in the north-central and south zone; while during May of this year, fishing activity was performed in the south zone (with lower availability of anchovy), to which it added superior temperatures to its average value.
On the other hand, the fishing for direct human consumption grew (4.28%) explained by the greater landing of fresh state species (22.9%) and preparation of curing (10.9%). On the other hand, the continental origin fishing grew by 5.81%.
Mining and Hydrocarbons increased by 16.74%
Mining and Hydrocarbons sector increased by 16.74% due to metal mining expansion by 21.02%, translated in the greater production of copper (36.1%), molybdenum (17.1%), zinc (8.2%), lead (5.3%) and tin (6.5%). On the other hand, gold (-7.4%), silver (-4.7%) and iron (-3.7%) decreased.
On the other hand, the hydrocarbons subsector decreased by 4.47% due to the lower level of exploitation of crude oil (-8.3%), liquids of natural gas (-3.9%) and natural gas (-1.8%).
Production of manufacturing sector decreased by 15.59%
Manufacturing sector decreased by 15.59% due to the contraction of the primary subsector (-29.72%) and non-primary subsector (-10.13%). In the behavior of the primary subsector influenced the lower activity in the branches of preparation and canned fish (-80.7%) and preparation of sugar (-17.8%); while, it grew the fabrication of primary products of precious metals (8.1%), manufacture of products from oil refining (13.9%) and production and preservation of meat (1.3%).
In the non-primary subsector (-10.13%), influenced the lower production of intermediate goods (-12.89%), consumer goods (-8.43%) and capital goods (-2.59%).
Electricity, Gas and Water Sector increased 5.72%
In May of 2023, Electricity, Gas and Water grew 5.72% due to the greater generation of electrical energy (6.29%), water production (1.87%) and gas distribution (5.05%). The result of electricity subsector explained by the greater power generation thermoelectric origin (23.5%) and non-conventional renewable energy (20.6%). Meanwhile, power generation of hydroelectric energy decreased (-6.7%).
The greater water production was associated to greater volumes generated by Sedapal (3.6%), Epsel (2.6%) and Sedapar (1.4%).
Likewise, the gas distribution increased after five months of contractive result, explained by the greater demand of electricity generators (8.7%) and establishments of sale of vehicular natural gas (13.5%); meanwhile, the demand of companies (-4.9%) decreased.
Production of construction sector decreased by 11.04%
The Construction sector reduced by 11.04% evidenced by the lower domestic cement consumption (-11.88%) and physical progress of public works (-8.91%). The behavior of domestic cement consumption based in the lower progress of private works and self-construction with the presence of adverse weather conditions that kept blocked the different transit routes, mainly in the northern zone of the country.
The decrease of the physical progress of public works was reported in the Local (-28.2%) and Regional (-8.0%) areas; nevertheless, in the National Government area (24.8%) grew. The projects that were the most affected were those of road infrastructure and sanitation services; nevertheless, the works of protection against disasters and improvement in the different health centers grew at national level.
Commerce sector grew by 3.15%
The commercial activity increased by 3.15% by its three components. Wholesale (3.11%), through the commercialization of fuel, machinery and equipment due to the demand of motors, spare parts, filters and medical equipment for mining, construction and health sectors through public and private biddings, greater commercialization of chemical and industrial products, as well as security equipment and household goods such as pharmaceutical products, among others.
Likewise, the retail sale increased (3.42%) by the requirement of computers and supplies, sale in gas stations linked to the greater demand of pharmaceutical products. In addition, the sale and repair of vehicles (2.70%) showed dynamism based in commercial strategies.
Transportation, Storage and Courier sector increased by 2.07%
During May of this year, the production of Transportation, Storage and Courier sector increased by 2.07% due to the favorable result of the transportation (5.10%) subsector; nevertheless, the storage and courier subsector contracted (-6.64%).
The result of transportation subsector was associated to the transportation by airway (16.4%) due to the increase of passenger traffic, the transportation by land road and pipeline transport (2.2%) due to greater movement of passengers by road (3.7%) and cargo (0.5%). And the rail transportation grew by 18.8% due to the greater cargo traffic. On the other hand, water transportation decreased by 7.4%, due to the lower demand of transportation of cargo by sea and passengers by river route.
The contractive behavior of the storage and courier subsector was due to the lower dynamism of the postal and courier activities (-4.0%), as well as the storage and activities of support to the transportation (-6.9%).
Accommodation and Restaurants sector increased by 3.94%
The Accommodation and Restaurants sector increased by 3.94% sustained in the progress of the restaurants subsector (3.96%) and accommodation subsector (1.67%). The result of the restaurants subsector was due to the reopening of branches with new formats, conditioning of terraces and presentation of shows of live music.
In addition, contributed the celebration of the Labor Day, Mother’s Day, International Burger Day and National Potato Day, the performance of gastronomic fairs such as: Expo Argentina, European Gastronomic Fair and Barranco Fair in Lima, “Feria Popular A llenar la Olla” in Cusco.
Production of Telecommunications and Other Information Services sector decreased by 6.83%
The Telecommunications and Other Information Services sector decreased by 6.83% due to the contractive result of the telecommunications subsector (-7.44%), slightly attenuated due to the growth of other information services (0.38%). In the result of telecommunications subsector were reported lower services of data transmission (-27.4%) and telephone services (-11.4%); meanwhile, the internet service and subscription television services grew (5.7%).
The behavior of the other information services (0.38%) subsector was based in the greater production activity and film show and television programmers (7.6%), computer programming (1.0%) and y editing activities (1.0%); meanwhile, television and radio programming decreased (-3.2%).
Production of Financial and Insurance sector decreased by 9.87%
The Financial and Insurance sector contracted by 9.87% before the lower granting of credits (-7.53%) and deposit acquisition (-5.87%) of multiple banking. According to segment, the credits aimed at big, medium, small and micro-enterprises driven (-12.8%) and mortgage (-2.4%); meanwhile, the consumption credits (7.1%) increased. According to economic sectors, there were channeled lower credits to commerce, manufacturing activities, real estate business, entrepreneurial and rent, construction, agriculture, livestock, hunting and forestry among others.
The lower dynamism of the deposits of the full-service bank were reported in the items of Compensation for Service Time (-30.5%), Savings Deposits (-17.3%) and Demand Deposits (-17.1%), meanwhile the Time Deposits that increased (30.1%).
Services Rendered to Companies sector increased by 1.56%
The Services Rendered to Companies sector increased by 1.56% due to the publicity and market research (6.3%) and professional, scientific and technical activities (3.0%); nevertheless, the administrative services and business support activities (-0.6%) and travel agencies and tour operators (-17.2%) decreased.
Advertising and market research grew due to the greater investment in advertising campaigns, digital marketing for Mother’s Day, sponsoring services, panel rent and new proposals of commercial strategies. The professional, scientific and technical activities expanded by the new civil engineering projects, technical studies and work monitoring, consulting and business consultants.
On the other hand, administrative and support services activities due to the lower provision of human resources, call center services, security systems, private surveillance and securities custody. Likewise, travel agencies showed lower dynamism before the influx of domestic and foreign tourists, cancellation of reservations and travels postponement.
Government services grew by 2.79%
Government services increased by 2.79% as a result of the greater activities performed by the Public Administration (2.9%), Defense (2.0%) and Other Services of the Government (1,7%) institutions.