Producer prices in Malaysia dropped by 1.5 percent year-on-year in March 2019, following a 1.6 percent fall in a month earlier. It was the smallest decline since October last year, as prices fell at a softer pace for both manufacturing (-0.8 percent vs -1.3 percent in February) and water supply (-1.7 percent vs -2 percent) while agriculture, forestry & fishing prices continued to drop (-14.2 percent vs -11.6 percent). In addition, cost of electricity & gas supply went up faster (2.1 percent vs 0.8 percent). On the other hand, cost of mining increased softer (3.0 percent vs 2.4 percent). On a monthly basis, producer prices declined by 0.3 percent in March, after a 0.6 percent rise in February. Producer Prices Change in Malaysia averaged 2.86 percent from 2002 until 2016, reaching an all time high of 22.50 percent in June of 2008 and a record low of -18.20 percent in July of 2009.
Producer Prices Change in Malaysia is expected to be -1.40 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 Malaysia to stand at 1.80 in 12 months time. In the long-term, the Malaysia Producer Prices Change is projected to trend around 2.50 percent in 2020, according to our econometric models.