Producer Price Index (PPI) Third Quarter 2014

ppi3rd2014.fwKenya National Bureau of Statistics hereby releases the Producer Price Index (PPI) for the September quarter of 2014. Producer Price Index measures the gross changes in the trading price of products on the domestic and the non-domestic markets, at all stages of processing. The price changes are measured from the perspective of the producer. The producer prices are collected as at 15th February, 15th May, 15th August and 15th November of the year. These dates corresponds to the first, second, third and fourth quarters respectively.

As shown in Table 1, the Producer Price Indices are grouped according to the International Standards of Industrial Classifications of All Economic Activities (ISIC) Rev 4. The overall producer prices increased by 0.06 per cent in the third quarter of 2014 compared to 0.73 per cent recorded in the second quarter of 2014. The ‘year on year’ PPI inflation, from September 2013 to September 2014 was 1.58 per cent.
The main contributors in the third quarter increases were electricity, water, manufacture of chemicals and chemical products and manufacture of beverages. Under manufacture of chemicals and chemical products, the producer prices of paints, shoe polish and soap went up and this caused the index to rise by 0.4 per cent. Over the three months period, electricity increased by 0.82 per cent while manufacture of food products declined by 0.27 per cent. The index on food products dropped in the third quarter mainly due to falls in prices of maize flour, wheat flour and prepared animal feeds. Download Producer Price Index (PPI) Third Quarter 2014