Producer Price Indexes, Australia

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Contains a range of producer price indexes in the Australian economy, comprising mining, manufacturing, construction and services industries.

Reference period
June Quarter 2024
Released
2/08/2024

Key statistics

Final demand (excluding exports)

  • Rose 1.0% this quarter.
  • Rose 4.8% over the past twelve months.

What are the Producer Price Indexes (PPIs)?

What is Final demand?

Quarterly overview

Final demand increased 1.0% this quarter with rises across most industries. Construction output prices continued to be impacted by rising labour costs and skilled trade shortages. Services output prices were influenced by higher prices linked to fees for property operators, while rises were partially offset by price falls across outputs influenced by lower seasonal demand, such as accommodation. 

 

Final demand, quarterly and annual percentage change
 Mar Qtr 2024 to Jun Qtr 2024Jun Qtr 2023 to Jun Qtr 2024
Final demand (excl. exports)1.04.8

The main contributors to quarterly growth in Final demand were:

  • Property operators (+2.1%), driven by fees linked to increased rents, as demand for rental dwellings outstripped supply in a constrained market.
  • Residential building construction (+1.2%), due to rising labour costs and shortages of skilled tradespeople, particularly finishing trades.
  • Non-residential building construction (+1.5%), driven by ongoing labour shortages and demand from government led projects such as schools, defence, health, and other building infrastructure.

Offsetting the rise were price falls in:

  • Accommodation (-8.2%), due to usual seasonal falls following higher summer holiday demand and major events, with reduced domestic demand during colder months
  1. Main contributors are ordered by quarterly contribution to index movement

Construction

Input to the house construction industry

Output of the construction industry

Mining industries

Input to the coal mining industry

Output of the mining industry

Manufacturing

Input to the manufacturing industry

Output of the manufacturing industry

Services

Output of the services industries

Data downloads

Data files
Data files

Data Explorer datasets

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Final demand

Construction

Mining industries

Manufacturing

Previous catalogue number

This release previously used catalogue number 6427.0.

Using price indexes

Price indexes in contracts

Price indexes published by the Australian Bureau of Statistics (ABS) provide summary measures of the movements in various categories of prices over time. They are published primarily for use in Government economic analysis. Price indexes are also often used in contracts by businesses and government to adjust payments and/or charges to take account of changes in categories of prices (Indexation Clauses).

Use of Price Indexes in Contracts sets out a range of issues that should be taken into account by parties considering including an Indexation Clause in a contract using an ABS published price index.

Changes in this issue

From June quarter 2024, the method used to calculate the series 440 Accommodation services (Table 20. Output of the Accommodation and food services industries, group index numbers) will change. Accommodation services are usually purchased in advance of travel and prices will continue to be collected on this basis. However, the timing of when these prices apply to the index will change to align with when the accommodation service is actually used. There will be no changes to prior quarter’s data.

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