The Producer Price Index (PPI) measures the average change over time in prices received by domestic producers for their goods and services, essentially the price at which products leave the factory gate.
The annual increase was largely driven by strong price growth in mining and utilities. Mining and quarrying prices rose 20.4 percent year-on-year, while electricity, gas and steam supply surged by 34.8 percent. Manufacturing prices recorded a more moderate annual increase of 2.5 percent.
On a monthly basis, the General PPI rose 1.1 percent compared to December 2025, mainly due to a 1.2 percent increase in manufacturing prices. Mining and utility prices remained unchanged over the month.
The data also reveals a divergence between domestic and export markets. Producer prices for locally sold goods increased by 2.8 percent year-on-year and 1.3 percent month-on-month. Electricity costs played a significant role in the annual rise, while manufacturing prices for local sales rose marginally by 0.2 percent.
Export prices, however, climbed sharply by 15.3 percent compared to January 2025. This growth was largely supported by higher mining prices, which account for more than half of the export index weight. Despite the strong annual growth, export prices declined by 1.3 percent month-on-month, reflecting a 3.1 percent drop in manufacturing export prices.
Overall, the January figures suggest that while producer prices remain elevated, particularly in export-oriented sectors, inflationary pressures at the production level are more moderate than the double-digit increases recorded in mid-2025. The continued rise in electricity prices remains a key structural factor influencing production costs across the economy.
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