The prices of the mining and manufacturing industries increased 1.43% in November 2017 in relation to the previous month, below the comparison between October and September 2017 (1.80%). Twenty out of 24 activities registered positive price changes, against 19 in the previous month. The cumulative index in the year stayed at 3.73%, against 2.27% in October.

The Producer Price Index - IPP of the Mining and Manufacturing Industries measures the evolution of the prices of products "at the factory gate", free from taxes and freight, and encompasses information by major economic category, i.e., capital goods, intermediate goods and consumer goods (durable and semi- and non-durable). The complete publication of the IPP can be accessed here.

The four biggest changes were reported among the products of the following industrial activities: oil refining and ethanol products (5.91%), mining and quarrying industries (-3.20%), basic metals (3.08%) and other chemicals (2.63%).

In terms of influence between October and November 2017, the highlights were: petroleum refining and ethanol products (0.64 p.p.), other chemicals (0.25 p.p.), basic metals (0.24 p.p.) and mining and quarrying industries (-0.13 p.p.).

In November 2017, the cumulative index in the year hit 3.73%, against 2.27% in October. The biggest rises in this indicator were oil refining and ethanol products (17.76%), basic metals (12.96%), pulp and paper (10.59%) and other chemicals (8.50%).

Considering this indicator, the most influential sectors were: oil refining and ethanol products (1.78 p.p.), food products (-1.51 p.p.), basic metals (0.95 p.p.) and other chemicals (0.78 p.p.).

The price change was 5.07% compared with November 2016, against 4.42% in October 2017. The four biggest changes were recorded in mining and quarrying industries (27.55%), oil refining and ethanol products (20.73%), basic metals (15.44%) and pulp and paper (10.77%). The most influential sectors were: oil refining and ethanol products (2.06 p.p.), food products (-1.51 p.p.), , basic metals (1.13 p.p.) and mining and quarrying industries (0.85 p.p.).

In November 2017, the price change of 1.43% against October reflected in the major economic categories like this: 1.42% in capital goods; 1.88% in intermediate goods; and 0.70% in consumer goods, of which 0.13% in durable consumer goods and 0.89% in semi and non-durable consumer goods.

The influence of the result of the overall industry (1.43%) on the major economic categories was: 0.12 p.p. of capital goods, 1.06 p.p. of intermediate goods and 0.25 p.p. of consumer goods. In the case of consumer goods, 0.24 p.p. was due to price changes observed in semi and non-durable consumer goods and 0.01 p.p., in durable consumer goods.

The price changes in industry recorded a cumulative rate of 3.73% in the year, being 3.43% from capital goods (influence of 0.29 p.p.), 5.77% from intermediate goods (3.21 p.p.) and 0.64% of consumer goods (0.23 p.p.). In this last case, the result was influenced by durable consumer goods (0.33 p.p.) and by semi and non-durable consumer goods (-0.10 p.p.).

The cumulative index in the last 12 months in industry reached 5.07% in November, with the following changes: capital goods, 3.49% (0.30 p.p.); intermediate goods, 7.80% (4.32 p.p.); and consumer goods, 1.24% (0.45 p.p.), being the influence of durable consumer goods of 0.38 p.p. and of semi and non-durable consumer goods, 0.07 p.p.

Six sectors stand out in November

Mining and quarrying industries: drop of 3.20% in relation to October 2017, after three consecutive months of positive changes. The cumulative indicator in the year remained positive (6.65%), against 10.17% in October. It rose 27.55% compared with November 2016, the biggest change among the sectors surveyed.

Food products: the change was positive (0.39%) for the second month in a row, compared with the immediately previous month. In October, the rise was of 0.89%. Even so, the cumulative index in the year was negative (-7.06%), the lowest index for November since 2010. The cumulative rate in the year was also negative (-6.96%) and, together with the September (-7.57%) and October (-7.02%) figures, were the most intense drops in the time series started in 2010.

Among the highlights in the comparison with the previous month, "roasted and ground coffee" and "sterilized milk/UHT/long life milk" stood out both in terms of change and influence. The former with a negative change and the latter with a positive change. "Crystallized sugar" and "residue of soybean oil extraction" were at the same level, the former with a positive impact and the latter, a negative one. The influence of the four products added up to 0.11 p.p. (in 0.39%).

This sector exerted the second biggest influence both in the cumulative index in the year (-1.51 p.p. in 3.73%) and in the cumulative rate in 12 months (-1.51 p.p. in 5.07%).

Pulp and paper: rise of 1.65% compared with October 2017. The cumulative rate in the year stayed at 10.59% and, in the last 12 months, at 10.77%, both of them being the third highest figures among the sectors of the manufacturing industry.

Oil refining and ethanol products: rise of 5.91% compared with October 2017, the second highest rise in the time series – the first was in August 2017 (6.48%). The cumulative index in the year stayed at 17.75%, the highest one for November since 2010, and the cumulative rate in 12 months hit 20.73%, the highest figure in the time series.

This sector was the greatest highlight in all the indicators, both in terms of change and influence. Compared with the immediately previous month, its influence registered 0.64 p.p. in 1.43%; in the cumulative rate in the year, 1.78 p.p. in 3.73%; and in the cumulative index in 12 months, 2.06 p.p. in 5.07%.

Other chemicals: rise of 2.63% compared with October 2017, the seventh positive change in the year and the third one in a row. The cumulative indexes in the year and over the last 12 months were 8.50% and 8.58%, respectively.

The products that recorded the biggest influences were "NPK-based manure and fertilizers", "polypropylene (PP)", "unsaturated propene" and "ammonium sulphate or urea", with 1.58 p.p. in 2.63%.

Basic metals: rise of 3.08% compared with October 2017, the eighth in the year. The cumulative indexes in the year and over the last 12 months were 12.96% and 15.44%, respectively. Its figures represented the second biggest change in the overall industry (mining and manufacturing).

"Unwrought non-alloy aluminum", "carbon steel ingots, blocks, rods and plates", "carbon steel wires" and "carbon steel rebars" were the products that mostly influenced the overall index in the comparison with October 2017. Among the 22 products selected for the survey, these four accounted for 2.49 p.p. of the month´s change, whereas the others influenced by 0.59 p.p.

Motor vehicles: change of 0.25% compared with October 2017, the tenth positive change in the year and the fifteenth one in the last 16 months – the only drop (-0.08%) had been posted in August 2017. The cumulative rate in the year reached 4.31%, while the cumulative index in November 2016 had been 3.28%. In the last 12 months, this sector accrued a change of 4.93%.

Having contributed with 11.24%, the activity of motor vehicles stood out in November for being one of the highest weights for the overall indicator, just behind the sectors of food products (19.92%) and oil refining and ethanol products (11.84%).