PPI of Crude Petroleum and Natural gas production decreased by 8.3%, comparing with previous month.

Planning and Statistics Authority (PSA) has released the Monthly Producer Price Index (PPI) of the Industrial sector for February 2020 with the base year 2013. Producer price index covers goods relating to “Mining” (weight: 72.7%), “Manufacturing” (weight: 26.8%), and “Electricity & Water” (weight: 0.5%). 

The PPI of February, 2020 for this sector showed a decrease by 8.3 % when compared with PPI of January 2020, primarily due to the price decline  of “Crude petroleum and natural gas” by 8.3%. PPI of February 2020, when compared with its counterpart in previous year (February 2019), there was a decrease of 14.4%. 

 A decrease of 0.8% has been recorded in February  2020, when compared with the previous month’s Manufacturing index (January,2020). The prices decrease are seen in: “Refined Petroleum products” by 1.9%, followed  by “Juices” and “Rubber and Plastics products” by 1.2% each, “Cement and Other non-metallic products” by 0.6%, and “Grain mill and Other products” by 0.2%, However, the increasing prices are noticed in Basic Metals” by 3.4%, “Beverages” by 1.4%, Paper and Paper products” by 1.0%, Basic Chemicals" by 0.3%, and “Dairy products” by 0.1%. No changes noticed in “Other chemical products and fibers. 

 

 

Comparing with the index of counterpart in the previous year (February 2019), “Manufacturing” PPI of February 2020 showed a decrease of 1.9%. The major groups which explain this price fall are: “Basic Metals” by 6.9%, “Basic chemicals” by 6.1%, "Cement and Other non-metallic products” 3.4%. “Beverages” by 0.8%, and “Grain mill and Other products” are decreased by 0.2%. However, prices increased in “Paper and Paper Products” by 3.0 %, followed by "Juices" by 2.6%, “Other chemical products and fibers” by 2.2%, “Dairy products” by 0.3%, "Rubber and Plastics products” by 0.2%, and “Refined Petroleum products” by 0.1%.  

The PPI of this group showed an increase of 2.5% compared to January 2020, resulting from the increasing in “Electricity”  by 3.9%, and  “Water”  by 0.7%. When compared the PPI of February, 2020, to the PPI of February,2019  [Y-o-Y], showed an increase of 7.0%, affected by  prices rise in “Water” by 8.4%,  and  “Electricity”  by 6.1%. 

The PPI for February,2020 is estimated at 59.9 points showing a decrease of 5.8%, when compared to the previous month’s January, 2020. On [Y-o-Y] basis, PPI of February,2020 showed a decrease  of 10.6% when compared to the PPI of February,2019.