The annual producer inflation in Russia rose to 16.9 percent in October 2018 from 14.4 percent in the previous month. It is the highest producer inflation rate since September 2011. Prices advanced faster for mining & quarrying (36.8 percent vs 27.6 percent in September), largely driven by production cost of crude oil and natural gas (51.8 percent) and coal (20.2 percent). Also, prices continued to rise for manufacturing (13.1 percent vs 12.6 percent), namely production of coke & petroleum products (39.8 percent) and chemicals & chemical products (16.9 percent); and electricity, gas, steam & air conditioning (3.1 percent vs 2.0 percent). On the other hand, producer inflation remained steady for water supply, sewerage, waste management & remediation activities (at 2.8 percent). On a monthly basis, producer prices went up 3.3 percent, the most since June, following a 1.3 percent increase in September. Producer Prices Change in Russia averaged 10.43 percent from 2005 until 2018, reaching an all time high of 33.70 percent in July of 2008 and a record low of -12.30 percent in July of 2009.
Producer Prices Change in Russia is expected to be 8.50 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 Russia to stand at 4.50 in 12 months time. In the long-term, the Russia Producer Prices Change is projected to trend around 3.20 percent in 2020, according to our econometric models.