South Korea producer prices decline in Sep, driven by cut in prices of energy products

Producer prices in South Korea declined during the month of September, largely driven by cut in prices of coal, petroleum and other energy products.

South Korea’s producer price index (PPI) for September came in at 99.24, down 1.1 percent from the same period last year, preliminary data released by the Bank of Korea (BoK) showed Wednesday. Producer prices serve as an indicator of future consumer inflation.

Further, the September index marked a slight increase from a revised 99.00 in the previous month. While prices of manufactured goods remained unchanged in September from a month earlier, prices of agricultural and fishery goods gained 5.4 percent on-month in September.

Utility prices, including electricity and water, lost 0.1 percent from the previous month, according to the BoK. Individually, prices for agricultural, forestry & marine products climbed 5.4 percent on month, while manufacturing products were flat and services gained 0.1 percent.