This is a 0.9% increase in producer inflation compared to the 6.7% rate recorded in May 2019.

The Producer Price Index measures the average change over time in the prices received by domestic producers for the production of their goods and services.

At a press conference, a Deputy Government Statistician, David Kombat said that the increase in the PPI was mainly due to activities in the mining and quarrying sector.

“The producer price inflation in the Mining and Quarrying sub-sector increased by 7.3 percentage points over the May 2019 rate of 15.1 percent to record 22.4 percent in June 2019.”

According to Mr Kombat the producer inflation for Manufacturing which constitutes more than two-thirds of the total industry decreased by 0.1 percentage points to record 6.1 percent.

On the utility sub-sector, he said that the sector recorded an inflation rate of 1.2 percent indicating an increase of 0.1 percentage point over the rate recorded in May 2019.

During June 2019, eight out of the sixteen major groups in the manufacturing sub-sector recorded inflation rates higher than the sector average of 6.1 percent.

Manufacture of machinery and equipment recorded the highest inflation rate of 23.5%, while tanning and dressing of leather recorded inflation rate of 0.0%.