German producer price index continued to decline in August

According to the report from Federal Statistical Office (Destatis), in August 2020 the index of producer prices for industrial products decreased by 1.2% compared with the corresponding month of the preceding year. In July the annual rate of change all over had been –1.7%. Compared with the preceding month July the overall index remained unchanged in August 2020 (+0.2% in July).

Energy prices as a whole decreased by 3.9%. On an annual basis, prices of petroleum products were down 14.4%, prices of natural gas (distribution) decreased by 9.9%.

The overall index disregarding energy was 0.4% down on August 2019.

Prices of intermediate goods decreased by 2.0% compared to August 2019. Prices decreased especially regarding secondary raw materials (-16.8%) as well as basic iron, steel and ferro-alloys (-8.7%) and basic chemicals (-6.4%). Prices of cereal flour were down 2.9%. By contrast, prices of precious metals increased by 26.3% compared to August 2019. Prices of ready-mixed concrete rose by 4.5%.

Prices of non-durable consumer goods increased by 0.3% compared to August 2019. The price of sugar increased by 19.2%. Prices of meat and poultry meat products rose by 2.4%. Pork prices were down 12.6% compared to August 2019.

Prices of capital goods increased by 1.0% compared to August 2019, durable consumer goods by 1.5%.