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Production in industry (sts_ind_prod)

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National Reference Metadata in Euro SDMX Metadata Structure (ESMS)

Compiling agency: State Data Agency (Statistics Lithuania)

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The Industrial Production Index (IPI) measures the real monthly change of production in mining and quarrying, manufacturing, electricity, gas, steam and air conditioning, water supply sectors. The IPI is based on the deflated turnover.

Indicator of the monthly change in the volume of industrial production assuming constant technology and unchanging input structure. The index is compiled according to Regulations of the European Council concerning short-term statistics and classifications as well as concepts and methods of the Methodology of Short -term Business Statistics, Interpretation and Guideline.

13 June 2025

The definition of IPI includes the sales value of industrial  production from industrial activity invoiced by the reporting unit during the reference period (without VAT and excises) and work done by enterprises working by subcontracting. Enterprises working by subcontracting provide separate data on unpaid raw materials (contingent valuation, if enterprise does not have true value), which are added to the work done.  It is done, because subcontractors sometimes produce commodities from own materials, and to avoid big fluctuation in IPI case unpaid raw materials are evaluated. 

According Rules for specific activities of NACE Rev.2 a principal which completely or partly outsources the transformation process is classified under manufacturing in same manufacturing activities as a contractor is classified, because it owns the raw material as input to the production process and therefore owns the final output.

VAT and all other taxes, which fall on products and services when they leave the factory, are also excluded.

The calculation of the IPI at constant prices is based on the producer price index. Monthly results are compared with the results of the previous of the reporting month and a corresponding month of the previous year, as well as with the average month of the base year.

The index is compiled according to Regulations of the European Council concerning short-term statistics and classifications as well as concepts and methods of the Methodology of Short -term Business Statistics, Interpretation and Guidelines (Eurostat).

Reporting unit – legal entity, observation unit – KAU

The frame of industrial enterprises in operation extracted from Statistical Business Register includes enterprises of all legal forms and ownerships, the main activity of which according to the NACE Rev. 2  classified in Sections B to E36. The frame is fixed for one year.

Population in 2024 is 10689 operating enterprises (Sections B to E36).

The geographical coverage of the IPI is whole territory of Lithuania.

A few enterprises in turnover include services purchased from third countries, since the full price of the products sold (As an example, the further dissolution of the main component of the pharmaceutical product, produced in the national territory, then takes out abroad to make required condition and its dosing and packaging). There are also companies that perform industrial services abroad, but they pay salaries in Lithuania and a part of their production/or services is sold/provided to Lithuania.

Month

Sampling design is stratified simple random sampling. Criteria for stratification: the characteristics used for stratification are the NACE Rev. 2 3-digit level and the number of persons employed. Enterprises are stratified by groups (3-digit level of NACE Rev.2) and then in each group they are stratified by number of persons employed. 

Calculating the ratio estimates of statistical data analysis evaluating outliers, the data is edited. The overall accuracy rate is high, the error significantly lower than the recommended for business statistics.

Estimates of errors not related to the sample are negligible.  Response rate in the 1-st publication is closed to 90 per cent.

To calculate the estimates Horvitz-Thompson estimator is using, that is unbiased.

The accuracy of the estimates is reached by eliminating non-sampling errors, such as coverage, non-response, response mistakes and processing errors, also by calculating sampling error.

Coverage errors appear by reasons of misclassification of  units and changes in state of reporting units.

It is compulsory to respond to the survey. In case of non-response,the data are estimated.

The sampling error in percent is calculated for main indicators of survey and published monthly.

Indices are transmitted to Eurostat.

Nationally data  on industrial production  are published in absolute figures (thousand EUR), indices and percentage changes. 

The non-responding enterprises are assessed on the basis of administrative sources – the monthly value added tax declaration produced by the State Tax Inspectorate. Whereas data from State Tax Inspectorate is only the previous month, then data is recalculated to the working days of the reference month. When non-respondents are known to be normal working enterprises and data of previous month exist, data of the previous month is recalculated to the working days of the reference month. If the data of previous month is unknown, the average value for the strata is imputed. The weighting factors are adjusted for other non-respondents.

Procedures for non-response: Imputation is used to treat for non-response.  The State Tax Inspectorate data is used for the estimation of data on the enterprises that have not responded as well as earlier known values of production sold by the enterprise recalculated to working days of the reporting month. The weighting factors are adjusted for other non-respondents.

Calculation of the Industrial Production Index in constant prices is based on the turnover (sales from industrial activity) deflated by the producer price index, base year 2021=100. Monthly production sold from industrial activity at current prices (VAT and excises excluded) sold by enterprises during the reporting month is recalculated at constant prices (2021=100) applying the producer price index (2021=100). The volume of production sold during the reference month is divided by the volume of production sold during preceding month at constant prices (without VAT and excises). This is done at the 4-digit level of NACE Rev.2.

Turnover (sales from industrial activity) include the total sales value of the product invoiced by the reporting unit during the reference period (without VAT and excises) and work done by enterprises working by subcontracting. Enterprises working by subcontracting provide separate data on unpaid raw and materials (contingent valuation, if enterprise not has true value), which are added to the work done. 

The deflated 4-digit NACE level data are progressively aggregated to higher levels and divided by the constant price data at the corresponding level in the previous period to obtain the 3-, 2-digit NACE level indices and overall index (of these only the latter two are published). Separate indices are compiled at the aggregate level for mining, quarrying and manufacturing, electricity, gas and water supply, and Main Industrial Groups (MIGs).

Data set is based on a statistical survey. The survey is conducted using a sampling method.

A new sample is drawn every year.

The sampling frame is based on information about enterprises in operation, their economic activity and the number of persons employed from the Statistical Business Register.

Sampling design is stratified simple random sampling.

The characteristics used for stratification are the NACE Rev. 2 3-digit level and the number of persons employed.

No threshold is applied.

2450 enterprises were included in the sample in 2024.

The sample sizes in stratum (persons employed classes):

1-9: 11 per cent

10-49: 34.4 per cent

50 and more: all enterprises, 100 per cent

Monthly.

 

 

The data are collected monthly from reporting units on the 10th calendar day of each month. Statistical information is published on the 23nd day after the end of the reference month.

The Industrial Production Index is comparable with other EU Member States IPI. Definitions and classifications applied accordance requirements of EU regulations.

Industrial Production Index data is fully comparable over minimum standard time for countries accordance requirements of EU Regulations. All methodological changes and changes in base year data in time series are made IPI comparable in time.