Malaysia’s Producer Price Index Rises Modestly By 0.3 Pct In February 2025

KUALA LUMPUR, March 27 (Bernama) -- Malaysia’s Producer Price Index (PPI) for local production increased by 0.3 per cent year-on-year (y-o-y) in February 2025, easing from the 0.8 per cent rise recorded in January, according to the Department of Statistics Malaysia (DOSM).

In a statement today, DOSM said the moderated increase was driven by continued expansion in the agriculture, forestry and fishing sector despite a decline in the mining sector.

Chief Statistician Datuk Seri Dr Mohd Uzir Mahidin noted that growth in the agriculture, forestry and fishing sector was led by the growing of perennial crops, contributing to a 15.2 per cent y-o-y increase, though slightly lower than the 16.5 per cent recorded in January 2025.

“The growing of perennial crops sub-sector led the growth, rising 26.1 per cent. However, the mining sector continued to contract, declining 9.7 per cent, compared to a 1.3 per cent drop in January 2024, driven by lower output in crude petroleum (-9.8 per cent) and natural gas (-9.4 per cent).

“The manufacturing sector recorded a marginal decline of 0.3 per cent, compared to a 0.6 per cent contraction in the previous month, with the largest drop seen in coke and refined petroleum products (-12.7 per cent) and computer, electronic and optical products (-3.2 per cent),” he said. 

He added that the electricity and gas supply sector recorded a slight decline of 0.2 per cent, while the water supply sector maintained its positive trend with a 2.9 per cent increase.

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Mohd Uzir further said that on a month-on-month (m-o-m) basis, PPI local production recorded a slight increase of 0.1 per cent in February 2025, slowing from 0.3 per cent in January 2025.

“The agriculture, forestry and fishing sector increased by 1.4 per cent, compared to a 3.9 per cent decline in the previous month, supported by growth in fishing (5.9 per cent) and growing of perennial crops (1.6 per cent).

“The manufacturing sector rose by 0.3 per cent, maintaining the same pace as in the previous month, driven mainly by coke and refined petroleum products (0.9 per cent) and food products (0.7 per cent).

He added that the mining sector declined by 3.2 per cent, compared to 5.3 per cent in January 2025, driven by lower output in natural gas (-3.5 per cent) and crude petroleum (-3.2 per cent), while in the utilities sector, the electricity and gas supply sector rose by 0.3 per cent, and the water supply sector fell by 1.8 per cent.

Elaborating on PPI local production by stage of processing, Mohd Uzir said the crude materials for further processing and intermediate materials, supplies and components indices remained unchanged y-o-y, while the finished goods index rose 0.7 per cent, supported by a 1.7 per cent increase in the capital equipment index.

“On a m-o-m basis, the crude materials for further processing index and finished goods index increased by 0.3 per cent, while the intermediate materials, supplies and components index fell by 0.1 per cent,” he said. 

Meanwhile, DOSM said it would chair the 15th ASEAN Community Statistical System Committee (ACSS15) under Malaysia’s 2025 ASEAN chairmanship, aiming to strengthen statistical cooperation for sustainable regional development.

“The government has declared Oct 20 as National Statistics Day (MyStats Day) with the theme ‘Statistics is the Essence of Life,’ while the Fourth World Statistics Day, observed on the same date in 2025, will carry the theme ‘Driving Change with Quality Statistics and Data for Everyone,” it added.

-- BERNAMA