Estonian PPI inflation eases in March

Estonian PPI inflation eases in March
By bne IntelliNews April 22, 2019

Estonia's producer price index (PPI) grew 0.4% y/y in March, data released by Statistics Estonia showed on April 22.

The headline figure sees the PPI inflation rate shed 0.2pp compared to the annual reading for February, extending the current trend of PPI inflation to 30 months straight. On a monthly basis, the index did not change.

The annual PPI growth in March came on the back of prices growing 5.2% y/y in the mining and quarrying sector. Elsewhere, growth was less pronounced or non-existent, data showed. In water supply, PPI did not change y/y while growing just 0.1% y/y in manufacturing. Prices fell 3.7% y/y in the utility sector – the supply of electricity, gas, steam, and air conditioning.

In m/m terms, PPI did not change in the water supply sector. Factory gate prices expanded 0.5% m/m in manufacturing and 1.3% m/m in mining and quarrying. In the utility sector, PPI declined 8.3% m/m.

Estonia's consumer price index (CPI) grew 2.3% y/y in March, Statistics Estonia said in early April. CPI growth remains driven by growing prices of energy for the housing sector, data showed.