NSI: THE INCREASE IN ENERGY PRICES IN JULY RESULTS IN 1.9% HIGHER PRODUCER INFLATION

The increase in energy prices resulted in 1.9% higher producer inflation in Bulgaria in July, compared to June, showed preliminary data of the National Statistical Institute (NSI). The new prices of electricity and gas as of July 1 inflated producer prices in all sectors of the economy. On an annual basis, producer prices on the domestic market rose by 4.5%, NSI reported.

In the processing industry, producer prices increased by 1.3%, compared to June 2011. A more significant increase was registered in the production of textiles and textile articles, except apparel - 10.6%, the manufacture of chemical products - 8.4% and the manufacture of tobacco products - 7.1%. A decrease was observed in the production of basic metals - 10.6% and the manufacture of other non-metallic mineral products - 0.9%.

The year-on-year price increase in the processing industry was 2.4%, in the energy sector - 10.6% and in the extracting industry there was no change. The highest price rise was registered in chemical products - 8.4%, tobacco products - 8.1% and drinks - 5.0%. A price decrease was reported in the manufacture of basic metals – 3.4% and electrical equipment - 1.6%. The overall index of producer prices, which includes exports as well, rose by 1.8%, compared to June and by 3.1%, compared to July 2011, NSI data showed.