According to the Palestinian Central Bureau of Statistics (PCBS), the overall Producer Price Index (PPI) for Palestine with its base month (December 2015=100) reached 99.87 in January 2016, as it decreased by 0.13% compared to December 2015.

Producer Price Index for Locally Consumed Products

Producer Price Index for locally consumed products (December 2015=100) reached 99.72 in January 2016, which indicates a decrease by 0.28% compared to December 2015.

Producer Price Index for Local Exported Products

Producer Price Index for local exported products (December 2015=100) reached 99.99 in January 2016, which indicates a slight decrease by 0.01% compared to December 2015.

The changes of the Producer Price Index for January 2016 were traced back to changes in prices of the following major activities compared to the previous month:

The prices of agriculture, forestry and fishing goods decreased by 1.89% due to the decrease in the price of temporary crops by 9.05% and the decrease in the prices of vegetables, tubers, root vegetables, and melons by 11.35%, and despite the increase in the prices of animal goods by 0.83% and permanent crops by 0.73%. Agriculture, forestry and fishing goods formed 25.20% of the goods basket.

The prices of goods within the manufacturing activity decreased by 0.34% and they formed 60.61% of the goods basket. The decrease in their price is due to the decrease in the price of manufactured chemicals and chemical products by 2.64%, manufactured cement, concrete and jibs by 2.21%, fodder products by 1.61%, soft drinks by 1.52%, leather products by 1.33%, and dairy products by 1.29%.

The prices of goods within the mining and quarrying activity decreased by 2.76% and formed 2.24% of the goods basket.

The prices of electricity, gas, steam and air conditioning supply increased by 5.27% and formed 11.17% of the goods basket.

The prices within the water supply, sewerage, waste management and remediation activities increased by 2.76% and formed 0.78% of the goods basket.

Note: since the beginning of 2016, PCBS updated the base month for the Producer Price Index, to be December 2015 instead of 2011, as well as started using International Standard of Industrial Classification for all Economic Activates revision four instead of revision three.

(Palestine Economy Portal)