Producer Inflation declines marginally

 PRODUCER Price Inflation, which measures the average change over time in the prices received by domestic producers for the production of their goods and services, declined marginally in July by 1.1 per cent to settle at 19.0 per cent.
Consequently, the month-on-month change in producer prices recorded 0.7 per cent, following a rate of 2.5 per cent in June 2012.
According to the acting Government Statistician, Dr Philomena Nyarko, the decline in the rates are as a result of 3 major declines in the performance of these sectors, manufacturing of food products and beverages, textiles and chemical products.
These three groups she said recorded lower inflation rates of 16.5 per cent, 57.1 per cent and 10.1 per cents respectively as compared to rates they recorded in June 2012.
The monthly changes in the producer price index indicated that mining and quarrying recorded the highest rate of 2.4 per cent, followed by manufacturing with 0.4 per cent and utilities with 0.7 per cent.
Dr Nyarko also explained that, mining and quarrying recorded the highest year- on- year producer inflation rate of 20.3 per cent, followed by manufacturing with 20.0 per cent and utilities with 10.6 per cent.
“The producer price inflation in the mining and quarrying sector increased by approximately 0.8 per cent points over the June 2012 rate of 19.5 per cent to record 20.3 percent,” she said.
Manufacturing which constitutes more than two-thirds of total industry, decreased to 20.0 per cent, from a rate of 21.9 per cent in June 2012 while the utilities sector increased by 0.5 per cent points from the June 2012 rate of 10.1 per cent to 10.6 per cent in July 2012.