Posted on August 26, 2015

Ministry of Development Planning and Statistics (MDPS) have released the Monthly Producer Price Index (PPI) of the Industrial sector for June 2015. This is the third monthly PPI release of the new producer price index series calculated 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%). Four new sub-groups have been added to the “Manufacturing” group of this new series. These are: “Juices”, “Pulp & paper products”, “Other chemical products”, and “Rubber & plastic products”. A brief analysis of the PPI in respect of three major groups is presented as under:


Compared with May, 2015 PPI of this group, the PPI of June, 2015 shows a decline of 3.8%, primarily due to the drop in prices recorded in “Crude petroleum and natural gas” by 4%.  PPI of June, 2015, when compared with its counterpart in the previous year, there has been a significant fallof41.9%. Figure (1) shows the movement of “Mining” index during June 2014 and June 2015.


A marginal decrease of 0.1% has been observed in June, 2015, when compared with the previous month’s Manufacturing index during this year. The increasing prices are noticed in “Juices” by 7.8%, “Basic chemicals” by 3.7%, and “Other chemical products” by 1.2%, and “Dairy products” by 0.7%, “Basic Metals” by 0.6% and “Cement and other non-metallic products” by 0.5%. The price decrease is seen in: “Refined Petroleum Products” by 1.8%,Beverages” by 0.9%. Other groups PPIs remain stable at previous month’s level.  

Comparing with the index of counterpart in the previous year (June 2014), “Manufacturing” PPI of June, 2015 shows a sharp decline of 25.9%. The major groups which explain this price fall are “Refined Petroleum Products” by 32.8%, “Basic chemicals” by 16.7% and "Basic Metals” by 12.8%, However, prices rises are also noticed in: “Juices” by 10.3%, “Dairy products” by 6.9%,“Cement and other non-metallic products” by 6.5%, “Beverages” by 4.8% and “Other chemical products, man-made fibers” by 3.1%,. Figure (2) shows the graphical presentation of “Manufacturing” index during June, 2014-2015.

Monthly Producer Price Index of 2 [].jpgElectricity and water

The PPI of this group shows a decrease of 1.3% compared to May 2015, resulting from the price fall seen in “Electricity” by 0.4% and “Water” by 2.6%. The PPI of June, 2015, when compared to the PPI of June, 2014, shows an increase [Y-o-Y]of0.4%, resulting from the combined effect of price rise seen in Electricity” by 0.1%  and “Water” by0.8%.

Overall Index (PPI of Industrial sector)

Based on the changes that have been recorded in the three major groups namely: “Mining (which includes crude and natural gas oil)”, “Manufacturing”, and “Electricity and water”, the PPI for June, 2015 is estimated at 62.5, showing a decrease of 2.6%compared to the previous month’s (May 2015), PPI.On [Y-o-Y] basis, PPI of June, 2015 shows a steep fall of 37.4%when compared to the PPI of June 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, and Qatar Information Exchange,