Since the implementation of the new base year (2015), and by way of replacing the previous process, which involved
updates to the products every five years, the branches monitored by the IPI will be reviewed at the rate of one fifth of
the series each year. This annual update will ensure that the process of branch monitoring is adapted to economic and
technical developments by including new industrial products or, on the contrary, removing products if their output has
fallen to excessively low levels. The first wave of annual re-basing, launched in the summer of 2017, resulted in
changes introduced with the March 2019 publication relating to January 2019 indices, in particular with the creation of
three new series not previously monitored (see below). The second wave was launched in the summer of 2018 and will
result in changes to the production of the indicator with effect from March 2020.
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Chapter 2 - Statistical Surveys on Enterprise Production
The data needed to calculate the industrial production index are collected from enterprises by means of statistical
surveys: the monthly branch surveys (EMB), which provide the data needed to calculate the index each month,
and the annual production survey (EAP), which serves as the sampling frame for the EMBs and also provides the
weights of the IPI at the most detailed level. In other words, the general principle is the combination of a light-
touch monthly cyclical survey and a more detailed and exhaustive annual structural survey.
Many actors are involved in the process of collecting these surveys:
INSEE is the main body responsible for collecting data from enterprises in the industrial sector
excluding food and agriculture. In addition to collecting the data, it is also responsible for their analysis
and integration (see Chapter 8) prior to the calculation of the IPI. INSEE delegates some monthly
branch surveys to approved professional bodies (in French, organismes professionnels agréés, or
OPAs). ;
The Statistics and Forecasting Service (SSP), attached to the Ministry of Agriculture, is responsible for
all surveys relating to food and agriculture. Like INSEE, it oversees both direct surveys and surveys
delegated to OPAs. It then transmits the data on food and agriculture to INSEE;
The Statistical Data and Studies Service (SDES), attached to the Ministry for the Ecological and
Inclusive Transition, is responsible for all monthly surveys relating to energy. The aggregated data are
also transmitted to INSEE. Lastly, with respect to construction, the SDES is responsible for overseeing
two monthly surveys on activities in metropolitan France in buildings and civil engineering works, with
the former being delegated to the French Building Federation (FFB) and the latter to the National
Federation of Public Works (FNTP) 13.
Production surveys are governed by European regulations:
The PRODCOM regulation (Council Regulation (EEC) No 3924/91 of 19 December 1991) defines the
obligations of Member States in respect of European structural business statistics on industrial
production. A classification of products known as the “PRODCOM List” has been developed based on
the external trade nomenclature (Combined Nomenclature, or CN) but adapted to the specific needs of
industrial statistics. The list is updated each year;
The STS Regulation: Council Regulation (EC) No 1165/98 of 19 May 1998 as amended in 2009 and
Commission Regulation (EC) No 1503/2006 of 28 September 2006 implementing and amending
Council Regulation (EC) No 1165/98 concerning short-term statistics as regards definitions of variables,
list of variables and frequency of data compilation define the obligations of Member States in respect of
the production of short-term Community statistics.
1- The Annual Production Survey (Enquête annuelle de
production, or EAP)
It has three main goals:
To identify the different activities carried out by enterprises in the industrial sector via a breakdown of
their turnover into subsectors (or branches) and to deduce their main activity (APE). In other words, the
EAP contributes, within the framework of the ESANE system, to the process of compiling the annual
structural business statistics. This objective is critically important since a correct sectoral classification
of enterprises in INSEE’s sampling frames will ensure the quality of the sectoral statistics produced.
The EAP also provides the information needed for making the sector/branch transition necessary for
13DARES also provides data on temporary employment in construction.
14
compiling national accounts on industrial enterprises (for other sectors, this information is collected as
part of the annual sectoral survey, or ESA);
To provide the necessary information for producing detailed data on industrial production, both in order
to meet the requirements of the European PRODCOM regulation and associated directives and to meet
the demands of national users and, in particular, those of professional bodies;
To provide the sampling frame for short-term statistics in industry excluding food and agriculture. The
EAP ensures a detailed annual tracking of industrial products manufactured in France for the industrial
production index (IPI) and the producer price indices (PPI). The survey is used as the sampling frame
for the annual EMB sampling process (see below) and provides some of the information needed to
calculate the weights of the elementary series.
The EAP was first conducted in 2009 and concerned data for 2008 14. Approximately 40,000 legal units are
surveyed, exhaustively above a given workforce and turnover threshold and randomly below that threshold.
1.1- The Scope of the EAP
The scope of the EAP corresponds to the manufacturing activities of enterprises whose main activity is classified
in sections B to E of NAF Rev.2:
• B Mining and quarrying;
• C Manufacturing
◦ Except division 10: manufacture of food products
◦ Except division 11: manufacture of beverages
◦ Except division 12: manufacture of tobacco products
◦ Except subclasses 1610A and 1610B (sawmilling, planing and the impregnation of wood),
which are a matter for the SSP;
• D Electricity, gas, steam and air conditioning supply;
• E Water supply; sewerage, waste management and remediation activities.
Approximately 150,000 enterprises (in the sense of legal units; see glossary) are included in this field.
Non-industrial enterprises (in the sense of their main activity) with one or more significant industrial activities
(approximately 1,000 units) are also included to complete the responses to PRODCOM. They are the subject of a
shorter questionnaire.
1.2- The Concept of Industrial Production
In PRODCOM, the main concept used is the notion of production sold during the survey period (calendar year)
in terms of value and physical quantities.
The concept of “industrial production” covers relatively complex concepts and is not referred to directly in the
questionnaire, with the questions focusing on the sale of industrial products, which is more easily measurable,
rather than on production itself.
The information required from each enterprise surveyed focuses on the products sold by the enterprise and on how
the enterprise obtained those products: did it purchase them, have them manufactured or manufacture them itself,
etc.? Depending on the case, the operations are linked to the production of goods or the production of industrial
services. Industrial output is more difficult to define in activities related to gas and electricity and water and waste
treatment.
14The EAP replaced the Annual Survey on Enterprises in Industry (in French, Enquête annuelle d’entreprise dans l’industrie, or
EAE), the Survey on Small Industrial Enterprises ( enquête sur les petites entreprises industrielles , or EPEI) and the Annual
Branch Survey (Enquête annuelle de branche, or EAB).
15
1.3- Content of the Questionnaire
A first set of contextual data relate to the turnover of the legal unit over the calendar year. If the enterprise has a
different financial year, the declaration will not reflect the turnover reported in the accounts.
Distribution of Total Turnover
Turnover is divided into five items:
the sale of industrial products, covering all products produced by the manufacturing and mining
industries as defined in the relevant classifications. These are mainly goods, but may also include
industrial services, particularly in cases where total or partial production relates to inputs belonging to
the customer (invoicing of a service);
the installation of industrial products is surveyed separately from the manufacture of products, in
accordance with the relevant classifications;
the repair and maintenance of industrial products is also surveyed separately from the manufacture of
products, again in accordance with the relevant classifications. Thus, for example, the sale of a product
accompanied by a maintenance contract should give rise to two declarations, one relating to the sale of
the product and the other relating to repair and maintenance;
other sales of industrial products, covering all products from industry not classified in manufacturing
and products from mining and quarrying, namely electricity, gas, steam and air conditioning supply and
water supply; sewerage, waste management and remediation activities;
the sale of non-industrial products and services corresponds to the remaining turnover that does not fall
into the four previous categories. These correspond to marginal or secondary activities carried out by
industrial legal units.
Some of these items are then described in detail. For example, sales of industrial products are described by
aggregate and detailed products. The legal unit must indicate the total amount invoiced per product and the
percentage distribution of each of these amounts based on the economic model underlying the sale of the product
(see below). Lastly, for each product, when it makes sense to do so, the legal unit indicates the quantity of
product sold, which must correspond exactly to the invoice amount shown on the same line of the questionnaire.
1.4- Breakdown of Invoicing According to the Economic Model for
the Sale of Industrial Products
The invoicing for a product corresponds to all the invoices issued for that product between 1 January and 31
December. This amount must be exclusive of taxes and transport costs, which are invoiced separately.
The analysis of the turnover of each product sold is based on the declaration of different possible economic
models. Five economic models are used. Models M1 and M2 refer to products sold by the legal unit but
manufactured externally by a third party (which may be another legal unit within the group), regardless of the
geographical location of that third party. The other three models (M3, M4 and M5) relate to products
manufactured by the legal unit on French soil, including French overseas departments. A product manufactured
outside the national territory is invariably treated as having been manufactured by an external legal unit.
Manufacturing outside the legal unit, including in another legal unit of the same group
Model 1 (M1): the product sold was purchased in the same condition as it was on the market, or its manufacture
was entirely outsourced to a subcontractor, without having provided it with inputs, i.e. raw materials and other
components used in its manufacture free of charge. Invoicing corresponds to a retail or sale price.
Model 2 (M2): the product has been entirely manufactured by a subcontractor by providing it with the inputs free
of charge. Invoicing corresponds to a production cost of the product.
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Production by the legal unit on French soil (including overseas departments)
Model 3 (M3): this model covers products specific to the legal unit and manufactured by the legal unit itself,
including by assembling purchased components. Invoicing corresponds to a production cost of the product.
Model 4 (M4): manufacture of a product for a third party that has designed it or holds the rights to it, without
free supply by that customer of the raw materials and other components used in the manufacture. Invoicing
corresponds to a production cost of the product.
Model 5 (M5): the legal unit manufactures the product for a third party, with the latter supplying inputs free of
charge. This case also corresponds to any partial manufacturing operation for a third party, such as the
processing carried out on a part supplied by the customer. Invoicing corresponds to a service price.
The measurement of production is based on aggregates (M2) to (M5).
2- Monthly Branch Surveys (Enquêtes mensuelles de branches,
or EMB)
The industrial production index is compiled based on the monthly branch surveys (EMBs). In the current system,
the EMB operates autonomously but the design (i.e. the choice of products surveyed) and sample selection are
largely based on the EAP.
2.1- The Scope and Statistical Unit of the EMBs (Excluding Food
and Agriculture and Energy)
Enterprises (population concerned by the survey) included within the scope of the monthly branch surveys meet
the following criteria:
they are located in France;
they operate in at least one industrial branch, whether as a core or secondary activity;
they have more than 20 employees or generate more than €5 million in turnover in at least one of the
branches listed in Table 1 (excluding food and agriculture and energy15, the data on the latter fields being
collected by the Statistics and Forecasting Service (SSP), attached to the Ministry of Agriculture, and the
Statistical Data and Studies Service (SDES), attached to the Ministry of Ecological and Social Transition,
respectively).
The statistical unit surveyed i s the unit resulting from the combination (or intersection) of an enterprise (in the
sense of legal unit; see glossary) and a product. The products studied are derived from those analysed in the EAP.
Table 1: List of Branches Included within the Scope of the Monthly Branch Surveys (Excluding Surveys on Food
and Agriculture and Energy):
“Mining and quarrying” (Section B)
NAF 08.11Z Quarrying of ornamental and building stone, limestone, gypsum, chalk and slate
NAF 08.12Z Operation of gravel and sand pits; mining of clays and kaolin
NAF 08.93Z Extraction of salt
NAF 08.99Z Other mining and quarrying n.e.c.
“Manufacturing” (Section C)16
15The scope of the IPI is therefore broader than the scope of the EMBs managed by INSEE since, for some branches, the
index draws on other surveys or sources.
16Some NAFs are not monitored in the EMBs, mainly because production is low or non-existent in France or because
monitoring is not required under European regulations (see Chapter 3).
17
Division 13
Manufacture of textiles
except for NAF
13.94Z
Manufacture of cordage, rope, twine and netting
Division 14
Manufacturing of wearing apparel
except for NAF
14.11Z
Manufacture of leather clothes
14.20Z
Manufacture of articles of fur
Division 15
Manufacture of leather and related products
Division 16
Manufacture of wood and of products of wood and cork, except furniture; manufacture of articles of
straw and plaiting materials
except for NAF
16.10A
Sawmilling and planing of wood, excluding impregnation
16.10B
‘Impregnation of wood’
16.22Z
Manufacture of assembled parquet floors
Division 17
Manufacture of paper and paper products
NAF 18.12Z
Other printing
NAF 18.13Z
Pre-press and pre-media services
Division 20
Manufacture of chemicals and chemical products
Division 21
Manufacture of basic pharmaceutical products and pharmaceutical preparations
Division 22
Manufacture of rubber and plastic products
Division 23
Manufacture of other non-metallic mineral products
except for NAF
23.43Z
Manufacture of ceramic insulators and insulating fittings
23.44Z
Manufacture of other technical ceramic products
23.49Z
Manufacture of other ceramic products
23.52Z
Manufacture of lime and plaster
23.64Z
Manufacture of mortars
23.65Z
Manufacture of fibre cement
23.69Z
Manufacture of other articles of concrete, plaster and cement
23.70Z
Cutting, shaping and finishing of stone
Division 24
Manufacture of basic metals
Division 25
Manufacture of fabricated metal products, except for machinery and equipment
Division 26
Manufacture of computer, electronic and optical products
except for NAF
26.80Z
Manufacture of magnetic and optical media
Division 27
Manufacture of electrical equipment
Division 28
Manufacture of machinery and equipment n.e.c.
except for NAF
28.24Z
Manufacture of power-driven hand tools
Division 29
Manufacture of motor vehicles, trailers and semi-trailers
Division 30
Manufacture of other transport equipment
except for NAF
30.40Z
Manufacture of military fighting vehicles
30.99Z
Manufacture of other transport equipment n.e.c.
Division 31
Manufacture of furniture
Division 32
Other manufacturing
except for NAF
32.11Z
Striking of coins
32.20Z
Manufacture of musical instruments
32.40Z
Manufacture of games and toys
32.91Z
Manufacture of brooms and brushes
Division 33
Repair and installation of machinery and equipment
18