Annual Producer Price Index dips by 0.77 per cent

Accra, June 23, GNA - The Annual Producer Price Index (PPI) dropped by 0.77 percentage points in May, bringing the respective yearly change between May 2009 and May 2010 to 16.14, up from 16.90 per cent.

This brings the monthly change rate between April and May 2010 to 1. 13 per cent. Mr Magnus Ebo Duncan, Director of Economics and Industry Statistics Division of Ghana Statistical Service (GSS), who announced the figures at a press conference in Accra on Wednesday, said the annual PPI for May 2010 was higher than the rate recorded for the same period in 2009, which stood

at 10.94 per cent. On specific industry basis, the manufacturing sector, which controls

69.75 per cent shares of all

industry, recorded an inflation rate of 18.39 per cent, which was lower t han that for the previous

month, which stood at 19.57 per cent. The mining and quarrying sector, which controls 13.97 per cent of al l industry share, recorded the

highest inflation rate for the period, closing at 22.98 per cent, up from

25.86 per cent in April 2010. The utilities sector, which includes production, transmission and distribution of electricity,

collection and distribution of water, did not record a change in price, closing the month at 0.09 per

cent, which was the figure for the previous month (April). Mr Duncan, however, said that the downward trend that the utilities sector had been enjoying over

the months largely because of the stability of prices of the utilities, would change as new tariffs

regime took effect from June this year. He said the decline of the PPI in May, was because of the stability of the Cedi against other major

trading currencies. Mr Duncan said the figure for the mining and quarrying sector indica ted that even though prices of

mined products remained relatively stable, they were also facing gradual decline. He said the manufacture of coke and refined petroleum products recor ded the highest price

increase of 45.34 per cent, while manufacture of chemicals and chemical products recorded negative

inflation rate of 0.99 per cent.