Qatar's PPI Surges 51.35 Percent Y-o-Y in July

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The Monthly Producer Price Index (PPI) for July 2022 is estimated at 162.34 points showing an increase of 2.41 percent, when compared to the previous month's June 2022 and an increase of 51.35 percent year-on-year.

Planning and Statistics Authority (PSA) has released the new PPI of the Industrial sector for July 2022, which is considered the Fifth issue of the PPI index calculated based on 2018. Where the details of relative importance and prices for the base year of 2018 are used, therefore, the relatives of the main four industry sectors become as follows: "Mining" (weight: 82.46 percent), "Manufacturing" (weight: 15.85 percent), "Electricity" (weight: 1.15 percent), and "Water" (weight: 0.52 percent).

In the mining and quarrying sector, the PPI of July 2022 for this sector showed an increase of 4.25 percent when compared with the PPI of June 2022, primarily due to the price increase on "Crude petroleum and natural gas" by 4.26 percent, and "Other mining and quarrying" increase by 1.28 percent. PPI of mining of July 2022, when compared with its counterpart in the previous year (July 2021), there was an increase of 58.73 percent.

In the manufacturing sector, a decrease of 7.42 percent has been recorded in July 2022, when compared with the previous month's Manufacturing index (June 2022). The prices decrease is seen in: "Chemicals and chemical products" by 8.48 percent, followed by "Refined petroleum products" by 7.86 percent, "Basic metals" by 7.10 percent, "Cement & other non-metallic mineral products" by 1.49 percent, "Printing and reproduction of recorded media" 0.84 percent, "Rubber and plastics products" by 0.45 percent, and "Food products" by 0.10 percent. The increasing prices are noticed in "Beverages" by 0.51 percent.

Compared with the index of its counterpart in the previous year (July 2021), the "Manufacturing" PPI of July 2022 showed an increase of 21.19 percent. The major groups which explain this price increase are: "Rubber and Plastics products" by 38.07 percent, followed by "Refined Petroleum products" by 30.00 percent, "chemicals and chemical products" by 21.54 percent, "Basic metals" by 18.72 percent, "Cement & other non-metallic mineral products" by 9.43 percent, and "Food products" by 2.95 percent, however, the decreasing prices are noticed in "Printing and reproduction of recorded media" by 5.03 percent, and "Beverages" by 1.11 percent.

In the electricity, gas, steam, and air conditioning supply sector, the PPI of this group showed a decrease of 1.53 percent compared to June 2022. When comparing the PPI of July 2022, to the PPI of July 2021 Y-o-Y, showed an increase of 9.16 percent.

In the water supply sector, the PPI of this group showed an increase of 2.39 percent compared to June 2022. When comparing the PPI of July 2022, to the PPI of July 2021 Y-o-Y, showed a decrease of 4.89 percent.

(QNA)