Skip to content Producer Prices in Spain Decline for the 10th Month
In December 2023, Spain experienced a notable shift in its producer prices, with a 6.3% year-over-year decrease. This change represents a slight moderation compared to the 7.6% decrease observed in November, which was adjusted upwards. Notably, this period marks the tenth consecutive month where Spain has seen a decline in producer prices. Such a trend indicates a sustained phase of deflation in the producer sector.
Sector-Specific Price Movements
Significant price reductions largely influenced the deflationary trend in specific sectors. Energy costs, for instance, saw a considerable drop of 20.6%, a slight improvement from the 23.5% fall in November. Similarly, prices for intermediate goods also declined, recording a 4.9% decrease compared to the 5.5% reduction in the preceding month. Contrasting this trend, there was an uptick in the consumer goods sector, with prices rising by 6.7%. This increase was observed across various subcategories, including non-durable goods, which saw a 7% rise, and durable goods, which maintained a steady increase of 1.7%. Additionally, capital goods experienced a 2.7% price hike, slightly higher than in November.
Monthly Variations and Excluding Energy Factors
When considering the month-over-month changes, December saw a 0.3% reduction in producer prices, following a significant 2.2% drop in November. This more detailed view reveals a somewhat stabilizing trend in the short term. Moreover, when energy is excluded from the calculations, the Producer Price Index (PPI) in December showed a 1.1% increase, slightly higher than the 0.9% increase in November. This highlights the significant impact energy prices have on overall producer price trends and underscores the diverse dynamics within different sectors of the Spanish economy.
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