MDPS releases monthly PPI of industrial sector

The Monthly Producer Price Index (PPI) of the Industrial Sector for February 2015 stands at 108.3 which shows an increase of 3.6% over the PPI of January 2014; and 38.9% decrease (year-on-year) when compared to the PPI of February 2014, said the Ministry of Development Planning and Statistics (MDPS).

The MDPS has released the monthly PPI of Industrial Sector which covers Mining, Electricity & Water and Manufacturing activities. This indicator is a measure of the average selling prices received by domestic producers for their output.

Compared with January 2015, the breakdown of the overall PPI for February, 2015 by main groups show a rise of 5.0% in "Mining" group (with a weight of 77%), the increasing price shows up in Crude petroleum and natural gas by 4.9%. "Manufacturing" group PPI (with a weight of 21%) shows a fall of 0.8%.The decreasing prices shows up in "Basic Chemicals" by 10.3%, and "Dairy products" by 1.0%. "Beverages" by 0.1%, and "Basic chemicals" by 2.9%. An increase is noticed in "Refined Petroleum products" by 3.8%, and "Cement and other non-metallic products" by 0.1%, while no changes on "Grain mill and other products".

The PPI of "Electricity and water" group (with 2.0% weightage) shows a decrease of 0.8%, resulting from the effect of price decline seen in Electricity by 1.6% and an increase in Water by 0.5%.

The overall PPI of February, 2015, compared to the PPI of February, 2014, has decreased (year-on year) by 38.9%. The "Mining" group PPI shows a drop by 41.3%. The "Manufacturing" group PPI shows a decline of 30.9% in February 2015, when compared to the PPI of February, 2014. The major groups which explain this price fall are "Basic chemicals" by 34.7%, "Refined Petroleum Products" by 34.4%,"Dairy products" by 5.7%, "Grain mill and other products" by 2.8%. However, prices rise are noticed in "Beverages" by 0.1%, "Cement and other non-metallic products" by 0.1% and "Basic Metals" by 3.8%.

The PPI for "Electricity & Water" shows a decrease of 0.1%, resulting from the effect of price rise seen in Electricity by 0.3% and fall in & Water by 0.6% .