Qatar’s produce price index falls in May

The Monthly Producer Price Index (PPI) for May 2014 stood at 170.3 (base 2006=100), showing a marginal increase of 0.3 percent over the PPI of April 2014.

The index increased by 3.1 (year-on-year) when compared to the PPI of May 2013, according to figures released by the Ministry of Development Planning and Statistics.

The indicator (PPI) is a measure of the average changes in selling prices received by domestic producers for their output.

The mining group (with 77 percent weight) PPI has increased (month-on-month) by 0.1 percent, primarily due to the overall price increase seen in the ‘crude petroleum and natural gas’ group by the same percentage.

Manufacturing group (with 21 percent weight) PPI shows a rise of 1.3 percent over the PPI of April 2014. The increase is explained by the combined effect of increasing prices, seen in basic chemicals by 2.9 percent, cement and other non-metallic products by 1.1 percent, dairy products by 0.8 percent, refined petroleum products by 0.7 percent, basic metals by 0.3 percent, and decreasing prices noted in: beverages by 0.7 percent and grain mail products by 0.4 percent.

The PPI for electricity and water (with 2 percent weight) shows a decline of 1.1 percent, resulting from the price rise seen in water by 0.2 percent coupled with the price fall in electricity by 1.7 percent.

The overall PPI of May 2014, compared to the PPI of May 2013, has increased (year-on year) by 3.1 percent.