Energy sinks producer prices: -4.8%. Reduced declines in industry

Energy sinks producer prices: -4.8%.  Reduced declines in industry

Positive signs that are almost the norm in the annual comparison with rare exceptions: the average of manufacturing activities sees a trend increase in prices of 3.2%, with much higher peaks in individual categories. For example in the food sector, which sees price lists more than nine points higher than in April 2022.

Trend, the one recorded by Istat on industry, which is also confirmed by the indications coming from consumer prices, a contained and still timid decrease. It will probably take another few months before the collapse of energy is transferred more convincingly downstream, first among businesses and then on households.

In detail

In April, the decline in industrial production prices was 4.8% on a monthly basis and 1.5% on an annual basis (it was +3.7% in March). On the domestic market, prices decreased by 6.5% compared to March and by 3.5% on an annual basis (from +3% in the previous month). Excluding the energy sector, prices do not change in cyclical terms and record a slowing growth trend (+4.4%, from +6.5% in March). On the foreign market, prices decreased on a monthly basis by 0.1% (-0.2% for the euro area, stable for the non-euro area) and grew on an annual basis by 3.3% (+2.7% euro area, +3.7% non-euro area). Again in April, construction production prices for "Residential and non-residential buildings" grew by 0.2% on a monthly basis and by 0.3% on an annual basis ( from +2.5% in March). The prices of "Roads and Railways" also grew by 0.2% on a monthly basis and recorded a tendential increase of 0.7% (it was +3.5% the previous month). In the February-April 2023 quarter, compared to the previous quarter, industrial production prices decreased by 7.7% (-10% on the domestic market, zero change on the foreign market).

The sectors

In April there were increases on an annual basis for almost all manufacturing sectors: the most marked concern the food, beverage and tobacco industries (+9.2% domestic market, +8.7% euro area, +9.4% non-euro area ), rubber and plastic products (+9.6% domestic market, +7.5% euro area, +4.3% non-euro area), textile, clothing, leather and accessories industries (+8.7% market internal) and computers and electronic and optical products (+13.0% in the non-euro area). Declines in all three markets were recorded for coke and refined petroleum products (-7.3% domestic market, -4.1% euro area, -11.3% non-euro area) and metallurgy and manufacturing of metal products (-4.4% domestic market, -8.8% euro area, -7.5% non-euro area).



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