Overview

Local Production

The Producer Price Index (PPI) for local production measures the average change in the prices of commodities charged by domestic producers of an industry in a reference month compared with the base year.

Producer Price Index (2010=100) By Sector (MSIC 2008)

Year-on-year comparison showed that the PPI for local production fell 2.1 per cent in May 2016. The highest drop was recorded by Mining index (-23.1%), followed by Electricity & gas (-3.6%) and Manufacturing (-1.3%). Meanwhile, the index for Agriculture, forestry & fishing and Water supply showed an increase of 15.9 per cent and 4.7 per cent respectively. [Table I].

The PPI for local production declined by 0.7 per cent in May 2016 as compared to April 2016. This was due to decreases in Manufacturing (-1.3%) and Water supply (-0.9%). Meanwhile, the indices for Mining, Electricity & gas and Agriculture, forestry & fishing increased by 5.4 per cent, 0.9 per cent and 0.1 per cent respectively.

Producer Price Index By Stage of Processing

The PPI for local production by stage of processing (SOP) declined by 0.7 per cent in May 2016 compared to the previous month. This declination was due to a decrease in Intermediate materials, supplies and components (-2.5%). Meanwhile, Crude materials for further processing increased by (+4.0%), however, Finished goods remained unchanged. [Table II]

As compared with the same month a year ago, the PPI for local production by SOP for May 2016 dropped by 2.1 per cent. This was due to decreases in index for Intermediate materials, supplies and components (-3.4%), followed by index for Crude materials for further processing (-2.2%). However, index for Finished goods increased by 0.8 per cent.

RELEASED BY:

THE OFFICE OF CHIEF STATISTICIAN MALAYSIA
DEPARTMENT OF STATISTICS MALAYSIA
30 JUNE 2016

Contact person:

Ho Mei Kei
Public Relation Officer
Corporate and User Services Division
Department of Statistics, Malaysia
Tel : +603-8885 7942
Fax : +603-8888 9248
Email : mkho[at]stats.gov.my

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