Malaysia’s producer price index up 1.3pc in July 2024, slows slightly from June, says Stats Dept

KUALA LUMPUR, Aug 28 — Malaysia’s Producer Price Index (PPI), which measures the price changes of goods at the producer level continued to rise by 1.3 per cent in July 2024 from a 1.6 per cent increase in June 2024, according to the Statistics Department (DoSM).

Chief statistician Datuk Seri Dr Mohd Uzir Mahidin said all sectors in PPI local production continued to increase since March 2024.

“The agriculture, forestry and fishing sector went up by 3.4 per cent (June 2024: 3.4 per cent), with the growing perennial crops index recording an 8.0 per cent increase.

“The mining sector edged up 2.2 per cent (June: 4.6 per cent), contributed by the rise in the extraction of crude petroleum index (3.0 per cent),” he said in a statement today.

Likewise, Mohd Uzir said the manufacturing sector marginally increased by 0.9 per cent (June 2024: 1.1 per cent) due to computer, electronic and optical products (7.0 per cent) and food products (1.2 per cent) indices.

Meanwhile, the water supply and electricity and gas supply index rose by 9.0 per cent and 0.3 per cent, respectively.

The monthly PPI local production fell further by 0.2 per cent in July 2024 from -0.1 per cent in June 2024, due to the manufacturing sector, which was down by negative 0.3 per cent.

Simultaneously, the electricity and gas supply index was also down by negative 0.8 per cent (June 2024: -1.1 per cent).

“Conversely, the agriculture, forestry and fishing sector rose by 1.1 per cent (June 2024: 1.1 per cent) with the growing perennial crops index posting a 2.7 per cent rise.

“The mining sector was up by 0.7 per cent (June 2024: -3.4 per cent), contributed by the extraction of crude petroleum (2.7 per cent) index,” he said adding the water supply sector also increased by 0.8 per cent from 0.1 per cent in June 2024.

Mohd Uzir said looking at selected countries, the United States (US) PPI rose by 2.2 per cent in July against 2.7 in June 2024.

“Japan’s PPI continued to increase by 3.0 per cent, from a 2.9 per cent rise in the prior month, driven by further rises in the cost of transport equipment, beverages & food, chemicals and petroleum & coal.

“Factory gate prices of goods produced in the United Kingdom also rose by 0.8 per cent, slowing from 1.0 per cent in June 2024, due to the refined petroleum products,” he said, while China’s producer price declined further by 0.8 per cent, similar to the previous month.

“Although indicating producer deflation, the latest figure remained the lowest since January 2023 contributed by multiple support measures from the government,” he added. — Bernama