Producer prices in Hungary increased 2.7 percent year-on-year in February 2019, easing from a 3.8 percent gain in the previous month. It was the lowest producer inflation rate since April last year, as prices slowed for manufacturing (1.9 percent compared to 2.6 percent in January); and electricity, gas, steam and air conditioning (8.3 percent compared to 13.5 percent). In contrast, cost advanced further for mining and quarrying (10.8 percent compared to 8 percent); and water collection, treatment and supply (0.3 percent compared to 0.1 percent). Producer inflation in February was influenced by wage growth, forint exchange rate changes and world petroleum market price trends. On a monthly basis, producer prices declined 0.3 percent, after a 0.5 percent fall in the prior month. Producer Prices Change in Hungary averaged 2.86 percent from 2001 until 2019, reaching an all time high of 11.30 percent in January of 2001 and a record low of -3.50 percent in March of 2010.
Producer Prices Change in Hungary is expected to be 2.50 percent by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate Producer Prices Change in Hungary to stand at 3.40 in 12 months time. In the long-term, the Hungary Producer Prices Change is projected to trend around 2.70 percent in 2020, according to our econometric models.