Producer prices increase in March 2022 quarter

Producer input and output prices increased in the March 2022 quarter, Stats NZ said today.

In the March 2022 quarter compared with the December 2021 quarter, prices received by producers of goods and services (outputs) increased 2.6 percent. Prices paid by producers of goods and services (inputs) increased 3.6 percent over the same period.

"The increase in input prices in the March 2022 quarter was the largest since 2008," business prices delivery manager Bryan Downes said.

"Most industries experienced rises in both input and output prices, however the electricity and gas supply industry was the largest contributor to the increase in headline input and output prices."

Key quarterly results

Higher prices received by the electricity and gas supply (up 19.3 percent), petroleum and coal product manufacturing (up 20.8 percent), and dairy product manufacturing (up 6.3 percent) industries were the largest contributors to the increase in prices received by producers.

Higher prices paid by the electricity and gas supply (up 31.1 percent), building construction (up 3.6 percent), and petroleum and coal product manufacturing (up 10.8 percent) industries were the largest contributors to the increase in prices paid by producers.

Another strong increase in capital goods prices

The capital goods price index showed a quarterly 2.8 percent increase. The recent increases have been strongly driven by the price increases for the construction of new buildings.

"The recent increases in the prices of capital goods have been the largest since the series began in 1990," said Mr Downes.