Producer Price Index changes -0.12% in April
May 26, 2017 01h31 PM | Last Updated: July 18, 2017 04h06 PM
Between March and April 2017, the Producer Price Index (IPP) of the IBGE, which measures the price change of the general industry (mining and quarrying and manufacturing industries), dropped 0.12%. In the year, the prices of the general industry accumulates decrease (-0.20%), but, in 12 months, the cumulative change is of 3.05% In relation to March, the prices of 13 of the 24 industrial activities surveyed were on a rise.
In the set of the "factory-gate" prices monitored for the calculation of the IPP, the four industrial activities that exerted the highest influence on the month's index were oil refining and ethanol products (-0.29 p.p.), food products (-0.07 p.p.), mining and quarrying industries (0.06 p.p.) and other chemicals (0.06 p.p.).
In the first four months of the year, the IPP accumulated decrease of 0.20%. In this case, the sectors to exert the greatest influence were food products (-1.01 p.p.), basic metals (0.55 p.p.), other chemicals (0.35 p.p.) and oil refining and ethanol products (-0.21 p.p.).
In relation to April 2016, the prices of the general industry increased 3.05%. The sectors of highest influence were basic metals (1.08 p.p.), mining and quarrying industries (0.96 p.p.), food products (0.69 p.p.) and motor vehicles (0.47 p.p.).
Manuel Campos, the IBGE analyst in charge of the IPP stressed that the prices of the mining and quarrying industries have been currently leveraged by the foreign demand for iron ores: "China has increased its prices and has been using greater quality ores. As a result, within a year, mining and quarrying prices have had a 33.2% rise", he said. In the comparison with April 2016, this was the greatest percentage change in the set of the surveyed activities.
By Luiz Bello
Images: Simone Mello
