Producer Price Inflation Eases to 1.3% in November as Factory-Gate Pressures Soften
Producer price inflation (PPI) slowed marginally to 1.3 per cent in November 2025, down from 1.4 per cent in October, reinforcing signs of easing cost pressures at the factory gate, according to the latest data released by the Ghana Statistical Service (GSS).
The 0.1 percentage-point month-on-month decline suggests a continued moderation in upstream inflation, with ex-factory prices rising at a significantly slower pace compared with levels recorded a year earlier.
On an annual basis, producer prices increased by an average of 1.3 per cent between November 2024 and November 2025, representing a sharp 25.7 percentage-point decline from the rate recorded in the corresponding period last year. This underscores the extent to which producer-side inflationary pressures have receded over the past 12 months.
The GSS attributed the moderation partly to a 1.9 per cent month-on-month decline in producer prices between October and November 2025, indicating that producers, on average, charged lower prices in November than in the preceding month.
Developments across key production sectors were mixed, reflecting uneven cost dynamics within the economy.
Mining and quarrying, the largest contributor to the PPI basket with a weight of 43.7 per cent, recorded an increase in inflation, rising by 1.6 percentage points from 0.7 per cent in October to 2.3 per cent in November 2025. The uptick suggests renewed price pressures within the extractive sector, despite the broader easing trend.
In contrast, the manufacturing sector, which carries a weight of 35.0 per cent, saw a notable decline in producer inflation. Inflation within the sector eased from 2.5 per cent in October to 0.5 per cent in November, representing a 2.0 percentage-point drop and contributing significantly to the overall slowdown in headline PPI.
Producer inflation in the transport and storage sub-sector remained firmly in negative territory, contracting further from -8.8 per cent in October to -9.0 per cent in November 2025, reflecting sustained price declines in that segment.
Within manufacturing, price developments were uneven. Data from the GSS shows that 10 out of the 23 major manufacturing groups recorded inflation rates above the sectoral average of 0.5 per cent in November.
The highest price increases were observed in the manufacture of leather and related products, which recorded inflation of 35.0 per cent, followed by the manufacture of textiles at 26.5 per cent, pointing to persistent cost pressures in selected manufacturing lines despite the broader sectoral slowdown.
Overall, the continued easing in producer inflation signals improving cost conditions for producers, which could provide some relief for downstream consumer prices if sustained in the months ahead.
