Producer price inflation accelerates in May- South Africa

Figures from Statistics in South Africa on Thursday reveal that South Africa’s producer price inflation increased in May.

Following a 6.7 percent gain in March, the producer price index increased by 7.4 percent year over year in May. According to economists, inflation was predicted to grow to 7.3 percent.

In May, coke, petroleum, chemical, rubber, and plastic products, food, beverages, and tobacco items, as well as metals, machinery, equipment, and computing equipment, all contributed significantly to price increases.

Report, also showed that producer prices for mining industry gained by 21.7 per cent annually in May and prices for electricity and water increased by 8.9 per cent.

Prices for agriculture, forestry and fishing and intermediate goods rose by 9.4 per cent and 15.2 per cent, respectively.

On a monthly basis, producer prices rose by 0.4 per cent in May. Economists had expected a 0.3-per-cent rise.

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