KUALA LUMPUR (March 28): The Producer Price Index (PPI) for local production dipped 1.6% year-on-year (y-o-y) in February 2019 due to the decline in the agriculture, forestry and fishing segment, as well as the water supply and manufacturing components.

In a statement today, the Department of Statistics (DoS) said the agriculture, forestry and fishing segment fell 11.6%, while the water supply and manufacturing components dipped 2% and 1.3%, respectively.

Meanwhile, the mining as well as electricity and gas supply indices edged up by 2.4% and 0.8% respectively.

On monthly basis, the PPI for local production rose 0.6%, supported by the indices of mining (+4.7%), manufacturing (+0.2%) and agriculture, forestry and fishing (+0.2%).

"However, the index of water supply and electricity & gas supply recorded a decline of 1% and 0.3% respectively," the department said.

DoS chief statistician Datuk Seri Dr Mohd Uzir Mahidin said for the period of January to February 2019, the PPI for local production registered a decrease of 2.6% from a year ago.

"In February 2019, the PPI local production at all stage of processing showed a decline as compared to the same month last year. It was contributed by the index of crude materials for further processing (-2.9%), intermediate materials, supplies and components (-1.9%) and finished goods (-0.2%)," he said.

Compared to the previous month, the PPI for local production of crude materials for further processing rose 2.3%, followed by finished goods at 0.2%, and intermediate materials, supplies and components, which rose 0.1%.