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PPI increases to 4.8% in December

Cape Town - South Africa's annual producer price index (PPI) for final manufactured goods was 4.8% in December 2015 compared with 4.3% in November.

The PPI impacts on the consumer price index (CPI) and thus inflation, and this increase would likely be felt by consumers.

“The main contributors to the annual rate of 4.8% were food products, beverages and tobacco products, wood and paper products and metals, machinery, equipment and computing equipment,” Stats SA said on Thursday.

The main contributor to the monthly increase was transport equipment.

The annual percentage change in the PPI for electricity and water was 14.1% in December compared with 12.9% in November, while the PPI for mining was -0.7% in December.

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