Slovenia - Producer Price Index (PPI)





Slovenia: Producer Price Index (PPI)

Mnemonic PPI.ISVN
Unit Index 2015=100, NSA
Adjustments Not Seasonally Adjusted
Monthly 0.14 %
Data Aug 2019 103.6
Jul 2019 103.45

Series Information

Source Statistical Office of the Republic of Slovenia
Release Producer Price Index
Frequency Monthly
Start Date 1/31/1992
End Date 8/31/2019

Slovenia: Price

Reference Last Previous Units Frequency
Consumer Price Index (CPI) Sep 2019 105.37 105.57 Index 2015=100, NSA Monthly
Producer Price Index (PPI) Aug 2019 103.6 103.45 Index 2015=100, NSA Monthly

Release Information

Output price indices measure changes in the level of producer prices of manufactured goods that are produced in Slovenia and sold by producers on the domestic (Slovenian) and non-domestic market.

Purpose

Output price indices measure changes in the level of producer prices of manufactured goods that are produced in Slovenia and sold by producers on the domestic (Slovenian) and non-domestic market.

Classification and data coverage

Since 1997 producer prices of manufactured goods have been collected according to the new Nomenclature of Industrial Products (NIP) and processed and published on the basis of the Standard Classification of Activities (SKD). Goods are classified into individual SKD activities from the field of industry (classes, groups, divisions, subsections and sections). Indices are published at three levels of SKD breakdown, i. e. by divisions, subsections and sections. This is an example of the breakdown and labelling of activities:

  • D Manufacturing section
  • DJ Manufacture of metals and metal products
  • 27 Manufacture of metals division

Output price indices of manufactured goods cover sections C (Mining and quarrying), D (Manufacturing) and E (Electricity, gas and water supply) of the SKD and Forestry as a part of section A (Agriculture, hunting and forestry). Output price indices cover all subsections and divisions in SKD sections A, C, D and E except:

  • section A includes only Forestry
  • subsection CA includes Mining of coal and lignite and Extraction of crude petroleum and natural gas
  • subsection CB does not include Mining of metal ores
  • section D does not include Manufacture of tobacco products (because Slovenia stopped producing tobacco products)
  • subsection DF covers only Manufacture of petroleum products
  • section E does not include Manufacture of gas and Steam and hot water supply

Additionally, we are publishing price indices for special groups of activities showing the dynamics of prices by end-use of products from individual activities at SKD class level. Activities are classified by end-use of products into three groups and four subgroups:

  • (A) Intermediate goods industries
  • (AE) Energy related industries
  • (AI) Intermediate goods industries except energy
  • (B) Capital goods industries
  • (C) Consumption goods industries
  • (CD) Durable consumer goods industries
  • (CN) Non-durable goods industries

In accordance with the Eurostat methodology, since 2002 we have been calculating the mentioned indices without section A Agriculture, hunting and forestry. According to the mentioned methodology, we are calculating and publishing the following indices:

  • (C+D+E) TOTAL (excluding A02): the price index covers products from SKD sections C, D and E, but not products from section A (subsection and division A02)
  • (C+D+E-AE) TOTAL (excluding A02 and AE): the price index covers products from SKD sections C, D and E, but not products from section A (subsection and division A02) and products from the group Energy related industries (AE)
  • (C+D) Mining and quarrying, and manufacturing: the price index covers products from SKD sections C and D
  • (AI) Intermediate goods industries except energy (excluding A02): the price index by end-use of products covers all intermediate goods industries, except from section A (subsection and division A02)
  • (AE-E) Energy related industries (excluding E): the price index by end-use of products covers all energy related industries, except from section E.

Monthly index shows price changes in the current month compared to the previous month.

The Statistical Office of the Republic of Slovenia publishes price indices for special groups of activities showing the dynamics of prices by end-use of products from individual activities at SKD class level. Activities are classified by end-use of products into four groups and two subgroups:

  • Intermediate goods
  • Energy
  • Capital goods industries
  • Consumer goods industries
    • Durable consumer goods industries
    • Non-durable consumer goods industries

Data collection

Prices which are the basis for calculating output price indices are collected with two surveys: the first one is called Output Prices of Manufactured Goods of the Non-Domestic Market (CENE-IZVOZ/M), while the second one is called Output Prices of Manufactured Goods of the Domestic Market (CENE-DOMA/M). Output (producer) prices of manufactured goods are collected monthly with questionnaires CENE-IZVOZ/M and CENE-DOMA/M that are sent to selected enterprises from the fields of manufacturing, mining and quarrying, energy and water supply and forestry at the beginning of the year. Each questionnaire is prepared for the enterprise individually. The questionnaires include only the representative products selected by enterprises. Each representative product has a detailed description and unit of measure to which price is related to. Enterprises fill in prices in the questionnaires every month for the transactions during the period from the 16th of the previous month to the 15th of the current month. They are to send the questionnaire to the Statistical Office of the Republic of Slovenia by the 20th of the current month. Enterprises have to briefly comment on the change of each of the prices. In 2007 the calculation of the output price index covered 426 enterprises which report monthly for around 2,700 products: 139 of the enterprises report both prices for the domestic market and for non-domestic markets, 81 report only for non-domestic markets and 206 only for the domestic market.

The calculation of individual price indices: For each current month compared to the base month (i. e. December of the previous year), individual indices of particular representative goods are calculated directly from data on prices.

  • It/d = pt / pd× 100
  • pt= price for certain product in the current period t
  • pd = price for certain product in the base period d

The calculation of aggregate indices at higher levels: From individual indices we calculate with weighted arithmetic mean aggregate indices, i. e. class and group indices, division, subsection and section indices, main industrial group indices and the total index according to the following formula:

It/d = ((summation{i=1}n (pti / pdi) × wdi) / (summation{i=1}n wdi)) × 100

Whereby:

  • It/d. . . index of classes, groups, etc. , or the total index
  • pti. . . price of product i in the current month
  • pdi. . . price of product i in December
  • wdi. . . weight for an individual product in December
  • n. . . number of products

Each aggregate index (December of the previous year = 100) calculated in this way and all other indices derived from this index and calculated with weights of the weight base period and with the same coverage of products are Laspeyres' indices of fixed type. Since January 2007 indices have been linked through the new index reference period year 2005 (2005 average = 100). All indices are now derived and calculated through the 2005 average in the following ways:

  • I FEB 07/Ø 05 = I FEB 07/DEC 06 ÷ I DEC 06/Ø 05× 100
  • I FEB 07/JAN 07 = I FEB 07/Ø 05 ÷ I JAN 07/Ø 05× 100
  • I FEB 07/DEC 06 = I FEB 07/Ø 05 ÷ I DEC 06/Ø 05× 100
  • I FEB 07/FEB 06 = I FEB 07/Ø 05 ÷ I FEB 06/Ø 05× 100
  • I Ø(JAN-FEB 07) / Ø(JAN-FEB 06) = I (JAN 07 + FEB 07)/Ø 05 ÷ I (JAN 06 + FEB 06)/Ø 05× 100
  • I (JAN-FEB 07) / XII 06 = (I JAN 07/XII 06 + I FEB 07/XII 06) ÷ 2

Price concept

Output (producer) prices of manufactured goods of the domestic market are prices at which producers sell their products in largest quantities on the domestic market - Ex Works. The price does not include VAT (value added tax) and similar deductible taxes and duties directly linked to turnover. The price includes rebates and discounts which the producer approves to the buyer. Output (producer) prices of manufactured goods of the non-domestic market are prices at which producers sell their products in largest quantities on foreign markets. The price does not include VAT (value added tax) but includes rebates and discounts which the producer approves to the buyer. Reporting units give the price in the currency in which the transaction was conducted. For calculating the index, the price is converted into the national currency on the basis of the reference exchange rate of the European Central Bank on the 15th (or 16th) day of the month.

Base price period

Prices of the base period are the basis for comparison with prices of the current period. Until 1994 the price base period was the average of the previous year. In 1994 we changed the price base period to December of the previous year.

The weighting system

The output price index is a combination of the output price index of the domestic market and the output price index of the non-domestic market. The weighting system is designed on the basis of the 2005 structure of sales value of manufactured goods on the domestic market and on foreign markets separately. The basic source of data is IND-L annual industry report. In designing the weights, IND-L sales value data are recalculated on December 2006 by producer price indices December 2006 / Ø 2005. The weighting system for the output price index is a combination of both weights for both indices. Goods are grouped into basic groups and classes, irrespective of their sale. It is important that codes of goods according to the Nomenclature of Industrial Products are grouped into appropriate classes of the Standard Classification of Activities. Weights are changed every year

Confidentiality

Certain series' current data is listed as "confidential" by the source. We have left them active to account for the possible release of this data. These series are:

  • Domestic - Manufacture of coke and refined pretroleum products
  • Domestic - Manufacture of transport equiptment
  • Non-domestic - Manufacture of coke and refined pretroleum products
  • Non-domestic - Manufacture of wearing apparel

The data are usually considered to be final when first released and are not subject to revision.

  • Major revisions are usually done every five years. Otherwise, the weights and the list of representative products are revised annually. Revisions and methodological changes are previously discussed with the Advisory Committee for price statistics.

Methodological notes were obtained from the Statistical Office of the Republic of Slovenia: http://www. stat. si/doc/metod_pojasnila/04-005-ME. htm