Growth of industrial producer prices slowed to 2.2 percent year-on-year

Industrial producer prices in June increased by 0.7 percent month-on-month, while their year-on-year growth slowed to 2.2 percent, according to data from the Croatian Bureau of Statistics (DZS).

Thus, producer prices have risen for the 28th consecutive month on a year-on-year basis, but the trend of slowing growth has continued. Namely, annual producer price rates have been continuously rising since March 2021, with a significant increase of 24 percent in June last year, which was the highest growth rate since DZS started tracking this data in 2011.

Since July last year, the annual growth rate of industrial producer prices has been continuously slowing down. In January of this year, it was 14 percent, in February 12.7 percent, in March 9.3 percent, in April 6.5 percent, and in May 2.5 percent.

When comparing industrial producer prices for the industry as a whole, excluding energy, they remained stable in June compared to the previous month, while they were 4.2 percent higher compared to June 2022.

Industrial producer prices in the foreign market remained stable in June compared to May, while they were 0.5 percent lower compared to June 2022.

In the domestic market, producer prices increased by 1.2 percent in June compared to the previous month, while they were 4.3 percent higher compared to June last year.

On a year-on-year basis, according to the main industrial groupings, the highest increase in producer prices in the domestic market was recorded in non-durable consumer goods by 9.1 percent, in durable consumer goods by 6.5 percent, in capital goods by 2.7 percent, and in intermediate goods by 1.9 percent. At the same time, energy prices increased by one percent.

On a monthly basis, in June of this year, compared to May, prices in the domestic market increased for energy by 3.7 percent, for non-durable consumer goods by 0.7 percent, and for capital goods by 0.1 percent, while they decreased in intermediate goods by 0.3 percent and in durable consumer goods by 0.1 percent.

According to the national classification of activities, in June of this year compared to the same month last year, producer prices increased the most in the supply of electricity, gas, steam, and air conditioning by 19.3 percent. In water supply; wastewater removal, waste management, and environmental remediation activities, prices increased by 0.7 percent, and in the manufacturing industry by 0.2 percent. At the same time, prices in mining and quarrying fell by 16.8 percent.

On a monthly basis, in June compared to May, producer prices in the supply of electricity, gas, steam, and air conditioning increased by 2.4 percent, in the manufacturing industry by 0.5 percent, and in mining and quarrying by 0.1 percent.

In water supply; wastewater removal, waste management, and environmental remediation activities (only section 36) prices fell by 0.1 percent.