S. Korea's producer prices fall for 2 months on cheaper farm goods, oil

Source: Xinhua | 2018-12-22

Prices for goods and services among South Korean suppliers fell for two months through November on cheaper farm goods and crude oil, central bank data showed on Friday.

The producer price index (PPI) stood at 104.67 in November, down 0.7 percent from the previous month, according to the Bank of Korea (BOK). It marked the second monthly fall, after sliding 0.4 percent in October.

The decline came as farm goods went cheaper after surging in prices in summer because of the sweltering heatwave. Prices for agricultural, livestock and fishery products dipped 4.1 percent in November from a month ago.

Industrial product prices shrank 0.9 percent on cheaper crude oil. Dubai crude, South Korea's benchmark, averaged 65.56 U.S. dollars per barrel in November, down 17.4 percent from the prior month.

Prices for electricity, tap water and natural gas were unchanged last month, but services prices shed 0.1 percent.

From a year earlier, the PPI rose 1.6 percent in November, keeping an upward trend for 25 months in a row.