The annual increase in prices fell below 19% in August
Photo: Bloomberg LP
German wholesalers raised prices in August by the smallest amount since Russia’s war on Ukraine began six months ago. Annual growth in German producer prices slowed for a fourth consecutive month in August, when it reached 18.9 percent, the German statistics office (Destatis) said, as cited by Reuters.
In July, the annual increase was 19.5 percent. This is the fourth consecutive month that this rate of inflation has weakened, after rising 23.8% in April, the highest level since records began in 1962.
On a monthly basis, prices rose slightly by 0.1%, boosted by higher prices for dairy products and fats. Prices of dairy products, eggs and edible fats and oils rose by 2.4% during the month, while scrap and residual materials fell by 5.1% and ores, metals and semi-finished metal products by 4.7 % cheaper.
The data earlier in the week showed that consumer inflation in the eurozone’s largest economy accelerated slightly to 7.9% in August, after rising to 7.5% a month earlier. The indicator has remained above the level of 7% for half a year now.
“The main reason for the high inflation is the rise in energy and food prices. Two measures have had a slight downward effect on inflation, especially in the period June-August 2022 – the €9 ticket and the fuel discount,” explained Georg Thiel, President of Destatis in relation to consumer inflation.