The Producer Price Inflation (PPI) is 9.7 percent for September 2016.
The September PPI rate, which measures the changes in prices by domestic producers over a period of time, represents a 1.4 percentage point decrease from August’s 11.1 percent.
Deputy Government Statistician, Mr. Baah Wadieh explained to journalists on Wednesday that the decrease in the month-on-month change of 1.4 percent was due to a drop in gold prices on the world market, which affected the manufacturing, and mining and quarrying sub sector.
“The slight drop in all industry inflation rate from 11.1 percent in August 2016 to 9.7 percent in September was the result of the decrease in inflation rate for Manufacturing, and Mining and Quarrying subsector .That is, the inflation rate for manufacturing decreased and that Mining and Quarrying also decreased and that accounted for the decrease that we saw from 11.1 percent in august to 9.7 percent in September 2016,” he said.
According to him, 13 of the 16 major groups in the manufacturing sub-sector recorded inflation rates higher than the sector average of 1.3 percent.
The manufacturing of wood products recorded the highest inflation rate of 58.1 percent while manufacturing of coke, refined petroleum products and nuclear fuel recorded the lowest producer price inflation rate of -14.8 percent.
“The decrease is mainly the result of decrease in the inflation rate for the manufacture of chemicals and chemical products. The Producer Price Inflation rate for the manufacture of chemical and chemical products decreased from 28.7 percent in August to 5.2 percent in September 2016, as a result of base drift effect,” he explained.
As far as the Petroleum Price Index is concerned, Mr. Wadieh said inflation rate in the sub-sector, was -27.9 percent in September 2015. “The rate declined to record -34.5 percent in October 2015. It however, increased to -21.8 percent in December 2015 and further rose to record 3.3 percent in January 2016.” In February, “it declined to 0.5 percent but increased to record 2.9 percent in march 2016 as a result of the base drift effect”.
Source: ClassFMonline
