Malaysia’s PPI shrinks 1.5% in November


On a monthly basis, the PPI for local production declined at a faster pace of 0.7% in November compared to a 0.3% contraction in the prior month.

PETALING JAYA: The country’s producer price index (PPI), which measures the prices of goods at the factory gate, continued its downtrend in November 2023 with a larger year-on-year (y-o-y) contraction of 1.5% compared with 0.3% in October.

All sectors were in negative territory except for water supply, which recorded a 1% growth, the Statistics Department said in a statement.

The mining sector saw the biggest drop last month at 4.7%, erasing October’s 1% growth, due to the decline in the indices for extraction of natural gas and extraction of crude petroleum.

Chief statistician Datuk Seri Mohd Uzir Mahidin said the manufacturing sector continued to ease with a 1.4% contraction (October 2023: 0.7% fall), dragged down by the manufacture of coke and refined petroleum products and the manufacture of food products indices.

Meanwhile, the agriculture, forestry and fishing sector swung to a 0.4% contraction from a growth of 3.8% in the previous month due to a 1.5% decline in the growing of perennial crops.

The electricity and gas supply sector also shrank by 0.6%, which followed the 0.5% decrease in October.

On a monthly basis, the PPI for local production declined at a faster pace of 0.7% in November compared to a 0.3% contraction in the prior month.

Meanwhile, on the PPI by stage of processing, Mohd Uzir said the finished goods index grew 1.7% y-o-y last month, cooling down from a 2.2% growth in October.

In contrast, the intermediate materials, supplies and components index saw a contraction of 3.4% (October 2023: 3% decline).

Meanwhile, the crude materials for further processing index’s growth slowed to 0.3% in November from 5.3% in the previous month. — Bernama

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