Producer prices in Mexico record annual increase

The National Producer Price Index (INPP) rose to an annual rate of 4.05% in September and also posted a monthly increase of 1.37%, according to figures released by the National Institute of Statistics and Geography (Inegi).

By comparison, August saw a 2.99% year-over-year increase in the INPP and a 0.06% month-over-month increase, according to the figures reported for this month.

“The National Producer Price Index (INPP) measures price changes for a fixed basket of goods and services. This basket is representative of domestic production for both domestic consumption and export,” explained INEGI.

By economic activity group, the primary sector grew by 4.45% monthly and 0.86% annually, while the secondary sector rose by 1.50% monthly and 4.01% annually; meanwhile, the tertiary sector advanced by 0.76% monthly and 4.52% annually.

Among secondary sectors, mining posted the highest growth, at 13.27% month-over-month and 23.84% year-over-year, followed by construction, at 0.17% and 5.71%, respectively. Manufacturing industries grew by 0.70% month-over-month and 2.48% year-over-year, while the generation, transmission, and distribution of electricity, as well as the supply of water and natural gas via pipelines, rose by 0.02% month-over-month but fell by 6.08% year-over-year.

Among the categories with the greatest positive impact on the overall index were crude oil, which contributed 0.587 percentage points; gasoline, which contributed 0.144 percentage points; and poultry, which contributed 0.100 percentage points.

It should be noted that producers of staple foods have seen not only a 6.73% increase in the price of corn, but also decreases in the prices of vegetables and fruits such as potatoes (-17.18%), avocados (-12.92%), and apples (-12.60%).