June 22, 2023
Producer prices of industrial products in Germany (domestic market), May 2023
+1.0% on the same month a year earlier
–1.4% on the previous month
As reported by the Federal Statistical Office, the index of producer prices for industrial products increased by 1.0% compared to May 2022. Compared to the previous year, this represents the smallest increase since January 2021 (+0.9%). In April 2023 the increase had been +4.1%. Compared with the preceding month April 2023 the overall index decreased by 1.4% in May 2023.
The greatest influence on the increase of the overall index in comparison with May 2022 had the price increases of capital goods and of non-durable consumer goods.
Prices of capital goods rose by6.5% on May 2022. This increase was mainly induced by the price development of machinery (+8.2% on May 2022) and of vehicles and its parts (+5.6%). Compared to the previous month April 2023 capital goods’ prices were up 0.2%.
Growth in prices of non-durable consumer goods mainly due to increasing food prices
Prices for non-durable consumer goods were 10.1% higher in May 2023 than in May 2022 and rose by 0.1% from April 2023. Food prices were 11.9% up on May 2022. Especially high was the price increase of sugar (+92.0% compared to May 2022). Prices of processed and preserved potatoes rose by 41.0%, those of meat of swine by 22.4% compared to May 2022. Processed and preserved fruit and vegetables were 22.1% more expensive, processed liquid milk and cream 19.6%. Only few products were less expensive than in May 2022, two of them being butter (-28.9%) and crude vegetable oils (-43.7%).
Prices of durable consumer goods increased by 7.9% compared to May 2022, mainly driven by the price development of furniture (+8.8%) and of domestic appliances (+9.1%).
Price decrease for intermediate goods especially due to price decrease of metal
Prices of intermediate goods decreased by 2.3% compared to May 2022. Compared to April 2023 these prices fell by 1.1 %.
Cheaper than a year before were metal prices (-10.9%). Compared to April 2023 these prices fell by 1.3%. Prices of metallic steel and ferro-alloys decreased by 18.1% compared to May 2022. Prices of concrete reinforcing bars in bars or coils even fell by 40.1%.
Significantly cheaper also were secondary raw materials (-30.5% on May 2022), wood (-28.4%) and wooden containers (-24.8%).
By contrast prices of lime and plaster increased by 41.5% compared to May 2022, those of hollow glass by 33.7%, of cement by 33.0% and of ready-mixed concrete by 26.3%. Household and sanitary goods and toilet requisites of paper pulp and paper were 19.3% more expensive than a year before, glass, ceramics and processed stones 17.0%.
Decrease in energy prices compared to the same month last year and the previous month
Energy prices were down 3.3% on May 2022 and decreased by 3.5% compared to April 2023. Energy prices had risen sharply shortly after the start of the Russian attack on Ukraine in February 2022, but have decreased by 34.3% from September 2022. Mainly responsible for the decrease of energy prices were the decreasing prices of electricity. Electricity prices fell by 10.2% across all customer groups compared to May 2022 and decreased by 3.9% compared to April 2023.
Prices of mineral oil products were down 21.0% from May 2022 and decreased by 4.7% from April 2023. Light heating oil prices decreased by 32.7% compared to May 2022 (–10.9% on April 2023), those of motor fuels were down 19.8% (–4.7% on April 2023).
Natural gas prices (distribution) were up 3.8% on May 2022 though compared to April 2023 these prices fell by 4.0%.
The overall index disregarding energy was 3.2% up on May 2022 (–0.4% compared to April 2023).
Source: Federal Statistical Office DESTATIS
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