Press release No. 309 of 20 July 2022
Producer prices of industrial products (domestic market), June 2022
+32.7% on the same month a year earlier
+0.6% on the previous month
WIESBADEN – In June 2022, the index of producer prices for industrial products increased by 32.7% compared with June 2021. As reported by the Federal Statistical Office the year-on-year increase was a bit less than before. In May the increase had been +33.6% and in April +33.5%. Compared with the preceding month May 2022 the overall index rose by 0.6% in June 2022.
Mainly responsible for the increase of producer prices compared to June 2021 still was the price increase of energy. Moreover, prices also rose significantly for intermediate goods (+22.3%) and capital goods (+7.4%) as well as for durable and non-durable consumer goods (10.5% and 14.7%, respectively).
Strong increase in prices for all energy sources
Energy prices as a whole were up 86.1% compared to June 2021 and by 1.6% compared to May 2022. Mainly responsible for the high rise of energy prices were the strong price increases of natural gas (distribution) which was +141.1% on June 2021 and of electricity which was 93.3% up.
Power plants had to pay 227.0% more for natural gas than one year before. Industrial consumers’ prices were up 182.6%, those of resellers 159.5%. Across all customer groups, natural gas became 0.2% less expensive compared to May 2022.
While end users with higher purchase volumes, whose prices are often based on stock market quotations, had to pay less than in May 2022 (industrial customers -2.2%, resellers -1.0%), prices for buyers of smaller purchase quantities, as well as for power plants, continued to rise.
For electricity redistributors had to pay 164.9% more than in June 2021, special contract customers 88.8%. Compared with the previous month May prices for electricity rose for all customers by 4.0%. For smaller customers such as households and small commercial customers prices fell slightly due to the abolition of the EEG surcharge.
Prices of mineral oil products were up 52.9% from June 2021 and rose by 0.4% from May 2022. Prices of light heating oil were up 125.5% compared to June 2021, those of motor fuels 42.6%. Compared to the previous month May especially prices for light heating oil increased (+20.1%) while prices for motor gasoline decreased by 9.3% due to the reduction of energy tax on fuels. Prices of diesel fuel where up 1.9%.
The overall index disregarding energy was 15.5% up on June 2021 (+0.1% compared to May 2022).
Significant price increase on intermediate goods, especially regarding metals, fertilisers, prepared feeds for farm animals and wood products
Prices of intermediate goods increased by 22.3% compared to June 2021. Compared to May 2022 these prices were down 0.6 %. The highest impact on the price development of intermediate goods had the increase of metals’ prices, which were 33.6% up on June 2021. Compared to May 2022 these prices fell by 0.9%.
Prices of metallic steel and ferro-alloys increased by 42.0%. Prices of non-ferrous metals were up 24.7%. Prices for both product groups decreased compared with the previous month (prices of ferro-alloys by 1.6% and non-ferrous metals by 1.0%).
Especially high were the price increases of fertilisers and nitrogen compounds (+104.4 %). Prices of wood pellets and wood chips rather doubled from June 2021. Prices of prepared feeds for farm animals increased by 42.7%.
Compared to June 2021 prices of paper and paperboard were up 51.2%, here in particular prices of newsprint increased (+102.5%). Prices of corrugated paper and paperboard, which are important for the packaging industry, increased by 42.0%.
Prices of cereal flour rose by 48.4% compared to June 2021 (+3.3% compared to May 2022).
Growth in prices of non-durable consumer goods mainly due to increasing prices for preserved meat and meat products
Prices of non-durable consumer goods increased by 14.7% compared to June 2021 and rose by 0.7% compared to May 2022. From June 2021 to June 2022 food prices increased by 19.0%. Especially high was the price increase of butter (+74.8% compared to June 2021). Prices of crude vegetable oils were up 60.7% from June 2021 but fell compared to May 2022 by 1.1%. Coffee prices were up 31.8% compared to June 2021, those of dairy products 27.0%. Prices of meat disregarding poultry was up 19.1% on June 2021, but were down 4.3% on May 2022.
Prices of durable consumer goods increased by 10.5% compared to June 2021, mainly caused by the price development of furniture (+13.4%).
Capital goods’ prices rose by 7.4%. This was the highest year-on-year change since September 1975. The highest impact on the price development of capital goods had the increase of machine prices, which were 8.7% up on June 2021, followed by vehicels’ price development by +5.3%. Especially high were the price increases of metal structures (+26.3%), of turbines (+22.4%) and of doors and windows of metal (18.3%).
Additional information
Long time series on the overall index are available in table Producer price indices for industrial products (61241-0002), more detailed data in table Producer price indices for industrial products (61241-0006) in the GENESIS-Online database.
