Producer Inflation Eases to 1.3% in November
By Praisebell Rosemond Larbi
Producer price inflation (PPI) slowed marginally to 1.3 per cent in November 2025, down from 1.4 per cent in October, according to the latest data released by the Ghana Statistical Service (GSS). The 0.1 percentage-point decline month-on-month confirms a continued easing of cost pressures at the factory gate, signalling some relief for businesses and consumers amid broader efforts to stabilise prices across the economy.
On a year-on-year basis, the GSS data show that average ex-factory prices increased by 1.3 per cent between November 2024 and November 2025. This represents a sharp disinflation of 25.7 percentage points compared with the rate recorded over the same period a year earlier, underscoring a significant moderation in producer price pressures over the past 12 months.
According to the GSS, the slowdown in producer inflation was driven largely by a month-on-month decline of 1.9 per cent in producer prices between October and November 2025. This indicates that, on average, producers charged lower prices in November than in the preceding month, reflecting softer input costs and subdued pricing power in parts of the production chain.
Movements across key production sectors played a central role in shaping the November outturn. The Mining and Quarrying sector, which carries the largest weight in the Producer Price Index at 43.7 per cent, recorded an increase in producer inflation. Inflation in the sector rose by 1.6 percentage points, from 0.7 per cent in October 2025 to 2.3 per cent in November 2025, partly reflecting price adjustments in extractive activities.
In contrast, the Manufacturing sector, which accounts for 35 per cent of the overall PPI weight, recorded a notable easing in inflation. Producer inflation in manufacturing declined from 2.5 per cent in October 2025 to 0.5 per cent in November 2025, representing a 2.0 percentage-point drop. The decline suggests reduced cost pressures across several manufacturing activities, offering potential room for stabilisation in consumer prices over time.
Producer inflation in the transport and storage sub-sector remained firmly in negative territory, continuing its contraction. Inflation in the sub-sector fell from -8.8 per cent in October 2025 to -9.0 per cent in November 2025, pointing to persistent price declines in logistics and storage-related activities.
Within the manufacturing sector, however, price movements were uneven. Out of the 23 major manufacturing groups, ten recorded inflation rates above the sectoral average of 0.5 per cent in November 2025. The highest price increases were observed in the manufacture of leather and related products, which recorded inflation of 35.0 per cent, followed by textiles manufacturing at 26.5 per cent.
At the other end of the spectrum, the manufacture of coke and refined petroleum products recorded the lowest inflation rate within manufacturing, contracting by 12.5 per cent over the period.
The GSS noted that the continued moderation in producer inflation could support efforts to anchor inflation expectations and ease pressure on consumer prices, provided the trend is sustained in the coming months.
