The year-on-year Producer Price Inflation (PPI) for all industries for the first month of 2022 has risen to 15.6 percent, up from the 14.7 percent recorded in December 2021.
The rate represents a 0.9 percentage point increase in the average price of goods and services received by domestic producers in the country for their production activities relative to the rate recorded in December last year.
The month-on-month change in producer price index between December 2021 and January 2022 was 4.0 percent
In January 2021, the producer price inflation rate for all industries was 8.7 percent. The rate increased to record 13.0 percent in March 2020, but declined to 10.9 percent in April 2021.
In May 2021, the rate increased to 11.8 percent but decreased continuously to record 8.1 percent in August 2021. Subsequently, the rate increased continuously to record 15.6 percent in January 2022.
Breakdown
The Manufacturing sub-sector recorded the highest year-on-year producer price inflation rate of 22.9 percent, followed by the Mining and Quarrying sub-sector with 2.2 percent. The Utility sub-sector recorded the lowest year-on-year producer inflation rate of 0.3 percent.
The manufacturing sub-sector recorded the highest monthly inflation rate of 5.3 percent, followed by the mining and quarrying sub-sector recorded a rate of 2.2 percent. The utility sub-sector recorded the least inflation of 0.1 percent.
In January 2022, two out of the sixteen major groups in the manufacturing sub-sector recorded inflation rates higher than the sector average of 22.9 percent.
Manufacture of coke, refined petroleum products and nuclear fuel recorded the highest inflation rate of 35.0 percent, while the Manufacture of motor vehicles, trailers and semitrailers recorded the least inflation rate of -2.9 percent.
Petroleum Price Index
The producer inflation rate in the petroleum subsector was 4.4 percent in January 2021. The rate increased continuously to peak at 31.0 percent in March 2021 but declined to 23.9 percent in June 2021.
The rate increased continuously to record 58.4 percent in November 2021. Subsequently, it dropped continuously to 35.0 percent in January 2022.
The Producer Price Index (PPI) measures the average change over time in the prices received by domestic producers for the production of their goods and services.
Source: citibusinessnews.com