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MENAFN - The Peninsula - 25/08/2014
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(MENAFN - The Peninsula) The Monthly Producer Price Index (PPI) of the Industrial sector for June 2014 increased 4.1 percent to 171.3 compared to June last year, said Ministry of Development Planning and Statistics (MDPS) in a press release yesterday.

The index, which covers mining, electricity and water and manufacturing activities, is a measure of the average changes in selling prices received by domestic producers for their output.

On month on month basis the index showed an increase of 0.6 percent over May 2014. Mining group, which has a weightage of 77 percent, PPI showed a rise of 0.7 percent over May 2014. The increasing price showed in Crude petroleum and natural gas by 0.7 percent.

Manufacturing group (with a weight of 21 percentage), PPI showed a rise of 0.1 percent. The increasing prices is explained by the combined effect of increasing prices seen in Refined Petroleum products by 0.8 percent, Dairy products by 0.6 percent, Grain mill and other products by 0.4 percent. Beverages and Basic Chemicals increased by 0.2 percent.

On the other decreasing prices noted in Basic Metals by 4.0 percent and Cement and other non-metallic products by 0.4 percent.

Electricity and water group (with two percent weightage), PPI has increased by 0.8 percent, primarily due to the overall price increase seen in the Electrical Energy group by 1.9 percent and decrease prices seen in water by 1.1 percent.

Mining group PPI shows an increase of 4.2 percent, primarily due to the price increase seen in Crude petroleum and natural gas group by the same percentage.

The Manufacturing group PPI shows an increase of 3.9 percent in June, 2014, when compared to the PPI of June, 2013.

The major groups which explain this price rise include Basic chemicals by 9.2 percent, Refined Petroleum Products by 2.5 percent, Basic Metals by 2.3 percent and Grain mill and other products by 1.3 percent. However, prices decline are noticed in Beverages by 3.2 percent.

The PPI for Electricity and Water shows a decrease of 3.3 percent, resulting from the effect of price fall seen in Electricity by 4.1 percent, and Water by 1.8 percent.

 


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