Oil and natural gas producers in Qatar saw about 1% month-on-month increase in their earnings in July; even as the country's producers’ price index (PPI) fell marginally, according to the official estimates.
Qatar's PPI — a measure of the average selling prices received by the domestic producers for their output — reported a 0.2% dip compared to that in June this year, said the figures released by the Planning and Statistics Authority (PSA). On a yearly basis, the index had seen an 11.8% plunge.
The PSA had released a new PPI series in late 2015. With a base of 2013, it draws on an updated sampling frame and new weights. The previous sampling frame dates from 2006, when the Qatari economy was much smaller than today and the range of products made domestically much narrower.
The mining PPI, which carries the maximum weight of 72.7%, was up 0.9% on a monthly basis as crude petroleum and natural gas prices also grew in a similar proportion, while that of stone, sand and clay was unchanged in the review period.
The PPI for mining saw a 12.4% shrinkage year-on-year in July 2019 on the back of 12.5% decrease in the price of crude petroleum and natural gas; even as there was a marginal 0.5% rise in that of stone, sand and clay.
The manufacturing sector, which has a weight of 26.8% in the PPI basket, witnessed a 10.5% yearly plunge this July on a 12% decline in the price of refined petroleum products, 11.1% in basic metals, 8.1% in basic chemicals, 5.1% in cement and other non-metallic mineral products, 1% in paper and paper products and 0.7% in grain mill and other products.
Nevertheless, there was a 5.6% increase in the price of juices, 5% in rubber and plastics products, 4.8% in dairy products, 3.8% in other chemical products and fibres and 0.8% in beverages.
The manufacturing sector PPI had seen a monthly 2.1% contraction in July 2019 as the price of paper and paper products shrank 3.5%, refined petroleum products (2.8%), basic metals (2%), beverages (1.3%), other chemical products and fibres (1%) and basic chemicals (0.4%). However, there was 1.2% jump in the price of dairy products, 0.7% in rubber and plastics products, 0.2% in grain mill and other products and 0.1% in cement and other non-metallic mineral products.
The utilities group, which has a mere 0.5% weightage in the PPI basket, saw its index tank 8.1% on yearly basis in July this year as electricity and water prices had fallen 8.4% and 7.7% respectively.
The index had seen a 6% decline month-on-month this July with the price of electricity plunging 13.7%; whereas that of water witnessed 3.2% jump.