Posted on February 24, 2016

Ministry of Development Planning and Statistics (MDPS) have released the Monthly Producer Price Index (PPI) of the Industrial sector for December 2015 with the base year 2013. Producer price index covers goods relating to “Mining” (weight: 72.7%), “Electricity & Water” (weight: 0.5%) and “Manufacturing” (weight: 26.8%).

Mining

The PPI of December, 2015 shows a fall of 8.3% when compared with PPI of November 2015, primarily due to the decreased in prices of “Crude petroleum and natural gas”. PPI of December 2015, when compared with its counterpart in the previous year, there has been a significant fall of 43.3%. Graph (1) shows the movement of “Mining” index during December 2014 and December 2015.

Manufacturing

A decrease of 4.3% has been observed in December, 2015, when compared with the previous month’s Manufacturing index during this year. The decreasing prices are noticed in “Refined Petroleum Products” by 6.0%, “Basic chemicals” by 2.8%, “Basic Metals” by 1.2%, “Other chemical products” by 0.8%, “Beverages” by 0.4%, and “Cement and other non-metallic products” by 0.1%. However, the prices increase are seen in : “Grain mill products” by 1.7%, “Juices” and “Dairy products” by 0.4% each.

Comparing with the index of counterpart in the previous year (December 2014), “Manufacturing” PPI of December, 2015 showed a sharp decline of 24.7%. The major groups which explain this price fall are ”Basic Metals” by 29.8%, “Refined Petroleum Products” by 27.9%, “Basic chemicals” by 21.3%, “Other chemical products” by 5.4%, “Dairy products” by 3.3%, “Rubber and plastics products” by 0.9% and “ Paper products by 0.1%. However, prices rise are also noticed in: “Cement and other non-metallic products” by 11.5%, “Juices” by 4.1%, and “Beverages” by 3.0%.

Graph (2) shows the graphical presentation of “Manufacturing” index during December, 2014-2015.

Electricity and water

The PPI of this group showed an increase of 3.3% compared to November 2015, resulting from the rising price seen in “Electricity” by 5.7% and “Water” by 0.1%. When compared the PPI of December, 2015, to the PPI of December, 2014, [Y-o-Y], showed an increase of 0.3%, resulting from the price slip seen in “Water” by 4.1% and rise in “Electricity” by 3.7%.

Overall Index (PPI of Industrial sector)

The PPI for December, 2015 is estimated at 49.3 points showing a decrease of 6.8% compared to the previous month’s November 2015), due to the decline that have been noticed in the “Mining (which includes crude oil and natural gas)”, and “Manufacturing” while an increasing in “Electricity and water”. On [Y-o-Y] basis, PPI of December, 2015 shows a steep fall of 37.8% when compared to the PPI of December 2014.

More details on monthly/annual comparison of indices are available in Table (1) and figures (3) and (4) of the Press Release. Further detailed data and indices would be available on the Ministry’s website, www.mdps.gov.qa and Qatar Information Exchange www.qalm.gov.qa

click here to view the tables and figures

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