Brutal factory gate price increase in Hungary

Factory gate prices in Hungary rose by an annual 21.6 percent in November, accelerating from an 18.5 percent increase in the previous month, the Central Statistical Office (KSH) said on Thursday.

KSH said the prices went up mainly because of dearer raw materials, feedstock and vehicle fuel prices. Prices for domestic sale climbed by 31.2 percent. Export prices rose by 16.8 percent.

KSH noted that prices for domestic sale of the manufacturing sector, which accounts for a 63 percent weight in the PPI, increased by 22.3 percent,

while prices in the energy sector, which has a 31 percent weight, jumped 53.0 percent.

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Export prices of the manufacturing sector, which have a 95 percent weight, rose by 16.8 percent, KSH said, as energy sector export prices, with only a 4.5 percent weight, climbed 206.1 percent on the back of the global rise in energy prices.

In a month-on-month comparison, factory gate prices were up by 2.7 percent as prices for domestic sale increased by 4.0 percent and export prices rose by 2.0 percent.