What is the price of industrial products in Georgia?

The Producer Price Index (PPI) for industrial products is decreasing month-on-month in Georgia, while it is on rise year-on-year (y/y).

Today, the National Statistics Office of Georgia, Geostat, published data that showed in December 2015 the PPI for industrial products decreased 0.9 percent over November 2015.

Meanwhile, the index rose 4.7 percent compared to December 2014 and 77.1 percent over the 2005 average.

The decrease of a monthly PPI rate in December was mainly driven by a one percent price decline for manufacturing, which had a downward effect of -0.78 percentage points on the overall index change.

In this category, lower prices were recorded for the chemical products (-13.3 percent) and manufacture of basic metals and fabricated metal products (-5.2 percent). Meanwhile, the prices were higher for manufacture of food products, beverages and tobacco products (2.3 percent).

In the reporting period prices were five percent lower for mining and quarrying, resulting in -0.11 percentage points contribution to the overall index.

The increase of the annual PPI rate was mainly caused by price changes to several consumer groups.

Manufacturing prices increased 3.5 percent and contributed 2.89 percentage points to the overall index change. Prices also rose for the following sub-sections:

• Manufacture of paper and publishing (17.7 percent); and
• Manufacture of food products, beverages and tobacco products (7.6 percent).

Geostat said the prices decreased for manufacture of basic metals and fabricated metal products (-9.3 percent). Meanwhile, the prices for electricity, gas and water increased 15.2 percent and contributed 2.08 percentage points to the overall index change.