Malaysia’s Producer Price Index, which measures the prices of goods at the factory gate recorded a negative 4.6 per cent decrease in May 2023 as against a negative 3.0 per cent in April 2023.
The Agriculture, forestry & fishing sector recorded a further decline of negative 27.2 per cent in May 2023 (April 2023: -26.0%). The Mining sector also posted a double-digit decrease of negative 10.7 per cent. In the meantime, the Manufacturing sector marginally declined by negative 1.1 per cent.
Meanwhile, Water supply and Electricity & gas supply indices edged up 3.0 per cent and 1.2 per cent, respectively. On a monthly basis, PPI local production decreased by negative 0.4 per cent, after an increase of 0.2 per cent in the previous month.
The Mining sector dropped negative 2.5 per cent, reflected by the decline of both Extraction of crude petroleum (-2.4%) and Extraction of natural gas (-2.7%) indices. The Agriculture, forestry & fishing sector went down negative 0.7 per cent, with the index of Growing of perennial crops posting a negative 2.3 per cent decrease.
The Manufacturing sector also recorded a decline of negative 0.2 per cent in May 2023. Furthermore, the Water supply index went down negative 0.1 per cent, while the Electricity & gas supply index moved up 0.6 per cent.
In terms of PPI Local Production by stage of processing, index of Crude materials for further processing declined further to negative 20.1 per cent in May 2023, with the Non-food materials index down negative 24.2 per cent.
The Intermediate materials, supplies & components index decreased by negative 1.6 per cent due to the decline in Materials & components for manufacturing (-6.2%) and Containers (-3.7%) indices.
Meanwhile, the Finished goods index went up 3.0 per cent contributed by the increase of Capital requirement (3.8%) and Finished consumer goods (2.0%). All stages of processing recorded decreases on a monthly basis, which Crude materials for further processing declined by negative 0.9 per cent, Intermediate materials, supplies & components (-0.4%) and Finished goods (-0.2%).
