Methodological Note on the Index of Industrial Production
The Index of Industrial Production reflects the monthly changes of the volume of production in the branches of mining and quarrying, manufacturing, electricity supply, water supply and materials recovery, that is sections B, C, D and E of the statistical classification of economic activities NACE Rev. 2 of the European Union. The index does not include sewerage, waste collection, treatment and disposal and remediation activities, which are codes 37, 38.1, 38.2 and 39 of section E.
The collection of data for the sub-sectors of mining and quarrying, manufacturing and materials recovery is conducted by the Statistical Service by telephone enquiries, fax or e-mail. The data collection starts five to ten days after the end of the reference period and is normally completed within a month and a half. For mining and quarrying, all enterprises are covered. For manufacturing, all enterprises with production value 1.700.000 Euros and over or with 20 or more employees are included in the survey and a sample is selected from enterprises employing less than 20 persons. The Electricity Authority of Cyprus, as the only electricity producing enterprise, provides production data, while data are also collected from water distribution, desalination and purification enterprises.
Compilation method and dissemination practices
The Index of Industrial Production is using 2005 as base year, meaning that it shows the monthly changes in production in relation with the monthly average production of the year 2005. In the base year, the average of the production indices for the twelve months is 100,0. For example, a monthly production index of 103,4 means that the production for the specific month has increased by 3,4% in relation to the average monthly production of 2005.
The aggregated Index of Industrial Production is a weighted average of the production indices of the various sub-sectors of Industry, as determined in the statistical classification of economic activities NACE Rev. 2. The weights used are derived from the value added of the enterprises in the base year (2005) and reflect the value added of each sub-sector in relation to the total value added of the Industrial sector.
The compilation of the Index of Industrial Production follows the provisions of Council Regulation (EC) No 1165/98 concerning short-term statistics and its amending Regulations. Working day adjusted data are transmitted every month to the Statistical Office of the European Communities (Eurostat). The Index is published at national level in its gross form (neither seasonally nor working day adjusted).
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Last Update: 10/04/2009