Chief statistician Datuk Seri Dr Mohd Uzir Mahidin.
KUALA LUMPUR: Malaysia’s Producer Price Index (PPI), which measures the price changes of goods at the producer level, fell at a slower pace 0.4% in November 2024, as compared to a 2.4% drop recorded in October 2024.
This was mainly due to the continued contraction in the mining sector, which fell 8.3% in November 2024, compared to a sharper decline of 17.3% in October 2024, driven by a 14.8% decrease in the extraction of crude petroleum index, according to the Statistics Department
“The manufacturing sector recorded a smaller decline, a drop of 1.8% compared to a 2.6% decrease in October 2024.
“This was largely due to lower prices in the index of manufacture of coke and refined petroleum products (minus 16.8%); manufacture of chemicals and chemical products (minus 5.1%),” its chief statistician Datuk Seri Dr Mohd Uzir Mahidin said in a statement yesterday.
Meanwhile, the agriculture, forestry and fishing sector posted significant increase, rising 21.8% from 13.8% in the previous month, led by a 37.7% increase in the growing of perennial crops index.
In the utilities sector, the water supply sector recorded a marginal decline of 0.2%, while the electricity & gas supply sector decreased slightly by 0.1%.
The finished goods index went up 0.4% while materials for further processing index further decreased by 2.0%.
On a month-on-month, the PPI rose 1.4%, supported by an 8.5% gain in agriculture and a 5.7% rebound in mining, with notable increases in the extraction of natural gas (14.2%) and crude petroleum (2.7%).
Meanwhile, the crude materials for further processing index declined by 2%, mainly due to a 2.4% drop in non-food materials, and the intermediate materials, supplies and components index fell slightly by 0.2% attributed to the 4.2% decrease in processed fuel and lubricants.
Comparing with other countries, Mohd Uzir said the PPI of the United States was up 3%, driven by the final demand index, while Japan’s 3.7% increase was due to higher costs in agriculture, forestry, and fishery products.
He added that the United Kingdom recorded a 0.6% decline due to lower chemical costs, while China continued its deflationary trend with a 2.5% contraction, marking its 26th consecutive month of deflation as Beijing implemented measures to stabilise the economy ahead of the year-end.
Commenting on commodity prices, Mohd Uzir said global crude oil prices saw fluctuations due to factors such as supply decisions by major oil producers and concerns over global demand, as reported in the International Energy Agency’s November 2024 Oil Market Report.
Overall, Brent crude oil prices ranged between US$71 to US$75 per barrel during the month.
“While global crude oil prices declined due to oversupply and economic concerns, Malaysia’s prices increased, supported by currency strength and regional demand dynamics,” he added.
As for crude palm oil (CPO) prices, Mohd Uzir pointed out that the Malaysian Palm Oil Council expected Malaysia’s CPO prices to hover around RM5,000 per tonne this month, supported by uncertainties in export supply and a decline in production.
