Industrial production prices fall 3.7% in July

The Index of Industrial Production Prices (IPPI) fell 3.7% in July in like-for-like terms, reflecting falls in the price of intermediate and perishable goods and energy, according to the National Statistics Institute.

In June the IPPI had registered a like-for-like fall of 3%.

According to the INE, the contraction in industrial production prices in July was determined by “intermediate goods” (contribution of -1.4 percentage points, against -1.2 percentage points in June), “non-durable consumer goods” and “energy” (contribution of -1.3 points in both cases, which compares with -1.2 and -0.9 percentage points in June, respectively).

These contributions reflected price decreases of 4.0% in “intermediate goods”, 4.3% in “non-durable consumer goods” and 7.6% in “energy” (variations of -3.4%, -3.8% and -5.5% in the previous month).

“Investment goods” and “non-perishable consumer goods” were the only groups that saw price increases in July, standing at 2% and 1.8% (1.2% and 2.7%) the previous month), contributing to 0.3% and 0.1% (0.2%) and 0.1% the month prior) to the variation of the aggregated index.

Excluding the “energy” group, industrial production prices fell 2.9% in July (-2.5% in June).

Month-on-month, compared to the previous month, the IPPI registered a variation of 0.1%, 0.7 percentage points lower than the value registered in July 2024.

According to the INE, this positive variation was due to the ‘energy’ and ‘investment goods’ groups, which contributed to the aggregate variation with 0.2 and 0.1 percentage points, resulting from variations of 1.4% and 0.4%, respectively.

Source: INE