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- Germany's producer price index fell more than forecast in March
Germany's producer price index fell more than forecast in March
According to the report from Federal Statistical Office, in March 2020 the index of producer prices for industrial products decreased by 0.8% compared with the corresponding month of the preceding year. In February the annual rate of change all over had been -0.1%. Compared with the preceding month February the overall index also fell by 0.8% in March 2020 (-0.4% in February). Economists had expected a 0.7% decrease.
Energy prices as a whole decreased by 4.7% (-3.1% compared to February 2020). On an annual basis, prices of natural gas (distribution) decreased by 11.9% whereas prices of petroleum products were down 11.5% and prices of electricity fell by 0.7%. The overall index disregarding energy was 0.5% up on March 2019 and remained unchanged compared to February 2020.
Prices of intermediate goods decreased by 2.1% compared to March 2019 (-0.3% on February 2020). Prices decreased especially regarding non-metallic secondary raw materials such as paper and paperboard (-49.4%). Prices of non-durable consumer goods increased by 4.2% compared to March 2019 (+0.3% on February 2020). Food prices were up 6.0% on March 2019. Pork prices increased by 32.9%, the price of sugar by 17.7%. By contrast, prices of butter fell by 17.8% compared to March 2019 and prices for processed and preserved potatoes were 8.5 % down on March 2019.
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