The July figure of 3.8% was 0.3% lower than the corresponding annual rate of 4.1% recorded in June.
Stats SA said the PPI figure for July was a result of increases in changes in the indices for electricity, which increased from 23.1% in June to 27.4% July.
Other indices that had an impact were the products of petroleum and coal which saw an annual rate increase from -35.1% in June to -32.6% in July.
Commenting on the figure, Standard Bank economist Danelee van Dyk told BuaNews it was not what she expected.
“We were expecting a negative 4.7% drop. The number is lower than we expected. Electricity prices accounted higher than what we expected,” said Van Dyk.
Article published courtesy of BuaNews
