South Africa Producer Price Inflation Accelerates In February

South Africa’s producer price inflation increased unexpectedly in February after easing in the previous month, figures from Statistics South Africa showed on Thursday.

The producer price index rose 10.5 percent year-on-year in February, following a 10.1 percent increase in January. Economists had expected an inflation of 10.0 percent.

In December, producer price inflation was 10.8 percent.

The main contribution for the increase in prices came from coke, petroleum, chemical, rubber and plastic products, metals, machinery, equipment and computing equipment, and food products, beverages and tobacco products in February.

Producer prices for the mining industry gained 6.4 percent annually in February and prices for electricity and water increased 12.9 percent.

Prices for agriculture, forestry and fishing, and intermediate goods rose by 8.0 percent and 19.3 percent, respectively.

On a monthly basis, producer prices rose 1.1 percent in February. Economists had forecast a rise of 0.9 percent.