Press release No. 195 of 19 May 2023
Producer prices of industrial products (domestic market), April 2023
+4.1% on the same month a year earlier
+0.3% on the previous month
WIESBADEN – As reported by the Federal Statistical Office, the index of producer prices for industrial products increased by 4.1% compared to April 2022. Compared to the previous year, this represents the smallest increase since April 2021 (+5.2%). In March the increase had been +6,7%. Compared with the preceding month March 2023 the overall index increased by 0.3% in April 2023. This is the first increase from the previous month since September 2022 (+2.3% compared to August 2022).
The main factor behind the increase in producer prices over the previous year in April 2023 is capital goods, with a rise of 6.8 % over the same month last year. Compared to March 2023, prices rose by 0.6%. In particular, machinery became significantly more expensive at +8.6 % compared to the same month last year (+0.6 % compared to March 2023). Vehicles and parts also increased in price by 5.6% compared to April 2022 (+0.9% compared to March 2023), as did steel and light metal fabricated products (+5.3% compared to April 2022, +0.4% compared to March 2023).
Growth in prices of non-durable consumer goods mainly due to increasing food prices
Prices for non-durable consumer goods were 11.4% higher in April 2023 than in April 2022, up 0.4% from March 2023. Food was 13.6% more expensive than in the previous year. Prices for sugar rose particularly sharply (+88.9% compared to April 2022). Processed and preserved potatoes cost 40.5% more than in April 2022, meat of swine 18.5%. Milk and cream were 23.3% more expensive than a year earlier, but prices fell by 0.7% compared to March 2023. Cheaper than in April 2022 were in particular butter (- 22.4 % compared to April 2022) and crude vegetable oils (- 35.7 % compared to April 2022).
Durable consumer goods prices were 8.8% higher in April 2023 than a year earlier, up 0.2% from March 2023, driven in particular by price developments for furniture (+10.2% compared to April 2022) and domestic appliances (+9.5% compared to April 2022).
Slight increase in energy prices compared to the same month last year and the previous month
Energy prices in April 2023 were only 2.8 % higher than in the same month last year. Compared to March 2023, they rose by 1.0 %. This is the first month-on-month increase since September 2022 (+5.0 % compared to August 2022). As energy prices had already risen sharply shortly after the start of the Russian attack on Ukraine in March 2022, this together with the price declines of the past months now led to only a comparatively moderate year-on-year increase. As in the previous months, the highest influence on the rate of change compared to the same month of the previous year for energy was the price increase for natural gas in distribution. Natural gas in distribution cost 10.8% more in April 2023 than in April 2022 across all customer groups. Compared to March 2023, natural gas prices increased by 1.4 %. Electricity prices fell by 2.9% across all customer groups compared to April 2022, but increased by 1.5% compared to March 2023.
Mineral oil products were 15.0 % cheaper than in April 2022, compared to March 2023, prices fell by 0.5 %. Light heating oil was 24.9% cheaper in April 2023 than a year earlier (-3.8% compared to March 2023). Prices for motor fuels fell by 13.4% (+0.1% compared to March 2023).
The overall index disregarding energy was 4.8% up on April 2022 (+0.1% compared to March 2023).
Price increase for intermediate goods especially due to prices for glass, ceramics and processed stones
Intermediate goods were 0.2 % more expensive in April 2023 than a year earlier. Compared to the previous month, these prices fell by 0.4%. As in the previous month, the price development for glass, ceramics and processed stones (+20.3% compared to April 2022) had the greatest influence on the year-on-year price increase for intermediate goods.
The prices for cement rose particularly strongly (+42.5 % compared with April 2022). Wood chips were 13.8 % more expensive than in April 2022 (-11.7 % compared to March 2023). Household and sanitary goods and toilet of paper pulp and paper cost 21.9 % more.
Cheaper than in April 2022 were metals (-9.0 %). Compared to the previous month, metal prices fell by 0.1 %. Metallic steel and ferroalloys cost 15.4 % less than in April 2022. Prices for reinforcing steel in bars or coils fell by 35.2 % year-on-year.
Methodological note
The index of producer prices of industrial products (domestic sales) measures the price changes of industrial products produced and sold at home by domestic enterprises of mining and quarrying, of manufacturing and energy and water supply. All charges and taxes on goods are included, apart from value-added tax. The index portrays price developments at the first levels of the value added chain. Reference day of the survey is the 15th of the reporting month.
The index of producer prices of industrial products (domestic sales) will be transposed to the new base year 2021 with the reporting month of January 2024. First results related to the new base year will be published in March 2024.
The results take into account the effects of the brake on electricity and gas prices, which has been effective since January 2023. The revised results for January to March 2023, which take into account the brake on prices, were published by the Federal Statistical Office on 15 May 2023.
Additional information
The statistical report on “Prices indices of industrial products (domestic market)" (only in German) includes the recent results. The statistical report replaces the former “Fachserie 17 Reihe 2”.
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.
