Overview
The Producer Price Index of Malaysia recorded a modest increase of 0.3 percent in February 2025
- Malaysia’s Producer Price Index (PPI), recorded a
year-on-year increase of 0.3 per cent in February 2025, slowing from the 0.8
per cent rise registered in January 2025.
- The Agriculture, forestry & fishing sector
remained the primary driver of PPI Local Production, recording a 15.2 per cent
increase year-on-year, as compared to 16.5 per cent rise in January 2025. The
Growing of perennial crops sub-sector led the growth, rising by 26.1 per cent.
However, the Mining sector continued to contract, registering a decline of 9.7
percent, with decreases in Extraction of crude petroleum (-9.8%) and Extraction
of natural gas (-9.4%). The Manufacturing sector recorded a marginal decline of
0.3 per cent, from the previous month’s contraction of 0.6 per cent. The largest
downward was attributed to Manufacture of coke & refined petroleum products
(-12.7%) and Manufacture of computer, electronic & optical products
(-3.2%). Meanwhile, the Electricity & gas supply sector recorded a slight
decline of 0.2 per cent, whereas the Water supply sector continued its positive
trend with a 2.9 per cent increase
- On a month-on-month basis, PPI Local Production
registered a slight increase of 0.1 per cent in February 2025, easing from 0.3
per cent in January 2025. The Agriculture, forestry & fishing sector
increased by 1.4 per cent (January 2025: -3.9%), supported by an increase in
Fishing (5.9%) and Growing of perennial crops (1.6%). The Manufacturing sector
rising by 0.3 per cent maintaining the same pace as in the previous month, mainly
due to Manufacture of coke & refined petroleum products (0.9%) and
Manufacture of food products (0.7%). Conversely, the Mining sector declined by
3.2 per cent (January 2025: 5.3%), affected by decreases in Extraction of
natural gas (-3.5%) and Extraction of crude petroleum (-3.2%). In the utilities
sector, the Electricity & gas supply sector increased by 0.3 per cent,
while the Water supply sector experienced a decline of 1.8 per cent.
- Meanwhile by stage of processing, Crude materials for
further processing and Intermediate materials, supplies & components index
remained unchanged on a year-on-year basis. Meanwhile, the Finished goods index
recorded a slight increase of 0.7 per cent, supported by a 1.7 per cent rise in
the Capital equipment index.
- On a month-on-month basis, both Crude materials for
further processing index and Finished goods index recorded a moderate increase
of 0.3 per cent. However, the Intermediate materials, supplies & components
index declined by 0.1 per cent.
Technical Notes / Methodology
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