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    Home»Industry News»Supply Chain»Producer prices up 21.6 percent year-on-year in December
    Supply Chain

    Producer prices up 21.6 percent year-on-year in December

    By Kloepfel13. February 2023Updated:13. February 20232 Mins Read
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    Falling prices compared with November

    In December 2022, producer prices of industrial products increased by 21.6 percent compared to the same month last year. As reported by the Federal Statistical Office (Destatis), this was the third consecutive month in which producer price increases slowed. In November, the year-on-year rate of change was 28.2 percent.

    Compared to the previous month, there was a 0.4 percent decrease in producer prices in December. The main reason for this was the development in energy prices.

    Price development for energy

    Compared with the previous year, energy prices rose by an average of 41.9 percent in December. The rise in energy prices was due in particular to price increases for natural gas in distribution and for electric power. Natural gas in distribution became more expensive by 52.0 percent and prices for electric power increased by 46.8 percent.

    In contrast, energy prices were 1.0 percent lower on average than in the previous month. The decrease in prices was mainly due to falling prices for natural gas in distribution and for petroleum products.

    Price development for consumer goods

    Furthermore, prices for consumer goods increased by 18.1 percent year-on-year in December. Compared with November 2022, there was a slight increase of 0.5 percent.

    Food prices rose sharply by 23.5 percent year-on-year. Prices for sugar in particular were 72.1 percent higher.

    Higher prices for intermediate goods, consumer goods and capital goods

    The price of intermediate goods also increased by 12.3 percent year-on-year in December 2022. This was mainly due to a 10.8 percent increase in prices for metals. However, metal prices were down 1.0 percent from the previous month.

    Consumer durables were 11.9 percent more expensive in December than a year earlier. This was mainly due to a 14.7 percent increase in the price of furniture.

    Capital goods prices were up 7.7 percent on the same month a year ago. This was due in particular to price increases of 9.8 percent for machinery.

    Source: www.kloepfel-consulting.com

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