PPI falls to 18.0 per cent in July

The annual Producer Price Inflation (PPI) fell to 18.0 per cent in July from 19.1 per cent in June, acting Government Statistician, Dr. Philomena Nyarko said on Wednesday.

This means that the ex-factory prices of goods for all industry rose on average by 18.0 per cent in July 2012 compared to the same period in 2011. The month-on-month change in PPI was 0.7 percent, following a rate of 2.5 per cent in June.

Dr. Nyarko said the producer inflation rate in mining and quarrying sector increased by 0.8 percentage points to 20.3 per cent relative to the rate of 19.5 per cent recorded in April.

Manufacturing, which constitutes more than two-thirds of total industry, decreased to 20 per cent compared to a rate of 21.9 per cent in June.

She said during the month of July five out of the 16 major groups in the manufacturing sector recorded inflation rates higher than the sector average of 20 per cent.

Manufacture of textile recorded the highest inflation rate 57.1 per cent whilst manufacture of machinery and equipment recorded negative inflation of (-7) per cent.

Mining and quarrying recorded the highest year-on-year producer inflation rate of 20.3 per cent, followed by manufacturing 20.0 per cent.

Utilities recorded the lowest rate of 10.6 per cent.

Dr. Nyarko said the monthly changes in the Producer Price Index indicated that mining and quarrying recorded the highest rate of 2.4 per cent.