Doha, Ministry of Development Planning and Statistics (MDPS) has released the Monthly Producer Price Index (PPI) of the Industrial sector for October 2016 with the base year 2013.

Producer price index covers goods relating to "Mining" (weight: 72.7%), "Manufacturing" (weight: 26.8%), and "Electricity & Water" (weight: 0.5%).

According to MDPS's statement today, the Mining PPI of October, 2016 showed an increase of 9.9% when compared with PPI of September 2016, primarily due to the increase in prices of "Crude petroleum and natural gas". PPI of October 2016, when compared with its counterpart in the previous year, there has been a significant fall of 12.1%. Figure (1) shows the movement of "Mining" index during October 2015 and October 2016.

On the manufacturing group, an increase of 2.2% has been recorded in October, 2016, when compared with the previous month's Manufacturing index during this year.

The prices increase are seen in: "Refined Petroleum Products" by 4.3%, "Basic Chemicals" by 1.4%,"Other Chemical products" by 0.9%,"Dairy products" by 0.4%,"Beverages" by 0.3%, and "Grain Mill products" by 0.1%. However, the decreasing prices are noticed in "Basic Metals" by 5.8%,"Juices" by 5.5%, "Rubber and Plastics products" by 1.0%, and "Cement and other Non-metallic products" by 0.2%. No change noticed in "Paper and Paper Products".

Comparing with the index of counterpart in the previous year (October 2015), "Manufacturing" PPI of October, 2016 showed a decline of 8.2%. The major groups which explain this price fall are "Basic Chemicals" by 15.7%, "Basic Metals" by 14.5%,"Refined Petroleum Products" by 5.3%,"Cement and other Non-metallic products" by 1.5%,"Grain Product" by 1.1%, and "Dairy products" by 0.7%. However, prices rise are also noticed in "Other Chemical products" by 18.0%, "Juices" by 12.5%, "Rubber and Plastic product" by 9.0%, and "Beverages" by 2.6%. No change noticed in "Paper and Paper Products".

In the electricity and water group, the PPI of this group showed a decrease of 4.3% compared to September 2016, resulting from the decreasing price seen in "Electricity" by 2.0%, and "Water" by 6.9%, and When compared the PPI of October, 2016, to the PPI of October, 2015, showed an increase [Y-o-Y] of 1.0%, resulting from the price rise in "Water" by 15.7%, and fall in "Electricity" by 8.9%.

Overall Index (PPI of Industrial sector) The PPI for October, 2016 is estimated at 49.9 points showing an increase of 7.3% compared to the previous month's September 2016, due to the increase has been noticed in sectors "Mining", and "Manufacturing", and decrease in "Electricity and water" On [Y-o-Y] basis, PPI of October, 2016 shows a fall of 10.7% when compared to the PPI of October 2015.

Source: Qatar News Agency