CHAIRMAN: DR. KHALID BIN THANI AL THANI
EDITOR-IN-CHIEF: PROF. KHALID MUBARAK AL-SHAFI

Business / Qatar Business

Producer Price Index jumps 14.32% in May 2026 amid regional disruptions

Published: 05 Aug 2026 - 09:21 am | Last Updated: 05 Aug 2026 - 09:23 am
Peninsula

The Peninsula

Doha, Qatar: Despite unprecedented regional escalations, disruptions to trade routes and exports, increased logistics and insurance costs, and wider pressures on global supply chains, Qatar safeguarded economic stability, maintained the uninterrupted provision of essential services, protected consumers and businesses from the full impact of external shocks, and continued to deliver growth.

Qatar’s Producer Price Index (PPI) of the industrial sector for May 2026 reflects the strength of Qatar’s economic foundations and the effectiveness of measures implemented to safeguard economic activity.

The data showed that the general PPI, calculated based on 2018, recorded a monthly increase of 2.75% compared to April 2026, and an annual increase of 14.32% compared to May 2025. The PPI reached 123.01 points during May 2026. Throughout this period, government entities worked in close coordination to support economic activity and mitigate the impact of external disruptions.

Accordingly, the Producer Price Index for Mining and Quarrying Sector increased in May 2026 by 2.96% compared to April 2026, driven by a 2.97% rise in the Crude Petroleum and Natural Gas extraction group, while prices for other mining and quarrying activities remained stable.

On a year-on-year basis, the sector’s index rose by 11.27% compared to May 2025, due to an 11.29% increase in Crude Petroleum and Natural Gas Prices, and a 0.17% increase in other Mining and Quarrying activities.

The PPI for Manufacturing sector increased by 2.71% in May 2026 compared to April 2026.

This was the net result of price increases in six industrial groups against decreases in two groups. Price Increases were recorded in basic metals (8.74%), chemicals and chemical products (5.66%), beverages (1.87%), cement and other non-metallic mineral products (1.22%), food products (0.88%), and rubber and plastics products (0.49%).

Meanwhile prices declined for refined petroleum products (13.96%) and printing and reproduction of recorded media (4.00%).

Compared with May 2025, the PPI of Manufacturing sector index recorded an increase of 32.31%. This was driven by higher prices in chemicals and chemical products (53.83%), basic metals (26.13%), food products (3.89%), cement and other non-metallic mineral products (1.00%), and printing and reproduction of recorded media (0.84%). Conversely, decreases were recorded in refined petroleum products (7.98%), rubber and plastics products (1.64%), and beverages (0.48%).

In Electricity, Gas, Steam, and Air Conditioning Supply Sector, the PPI recorded a decrease of 9.85% in May 2026 compared to April 2026, while it increased by 3.95% compared to May 2025.

Meanwhile, the Water Supply Sector recorded a monthly decrease of 1.71% compared to April 2026, and an annual decrease of 7.05% compared to May 2025.