Croatia Producer Prices at 3-Month High

Producer prices in Croatia increased by 0.9% year-on-year in February 2026, rebounding from a 1.2% fall in the previous month. It marked the highest reading since November 2025, primarily driven by easing deflation in manufacturing (-0.3% vs -0.6% in January), supported by faster price growth in the manufacture of wood and wood products, except furniture, articles of straw and plaiting materials (5.9% vs 5.5%), manufacture of basic pharmaceutical products and pharmaceutical preparations (2.3% vs 1.8%), manufacture of electrical equipment (0.5% vs 0.4%), and the manufacture of machinery and equipment n.e.c. (2.3% vs 2.1%). The overall rebound was also driven by a sharp turnaround in electricity, gas, steam and air conditioning supply (8.2% vs -1.5%). In contrast, deflation deepened in mining and quarrying (-22.1% vs -16%). On a monthly basis, producer prices rose 2.3%, recovering from a 0.1% fall in January.

Producer prices in Croatia decreased by 1.2% year-on-year in January 2026, after a 0.1% rise in the previous month. This marked the first decline in producer prices since April 2025, due to lower prices in mining and quarrying (-16.0% vs -11.8% in December), manufacturing (-0.6% vs 0.3%), and electricity, gas, steam and air conditioning supply (-1.5% vs 0.3%). At the same time, price growth in water supply, sewerage, waste management, and remediation activities eased slightly (1.1% vs 1.2%). Excluding energy, producer prices rose by 0.8%, slowing from a 1.1% increase in December. On a monthly basis, the PPI edged down 0.1%, following a 0.4% fall in the prior month.

The annual producer price inflation in Croatia eased to 0.1% in December 2025 from a twenty-month-high of 2% in the previous month. This marked the lowest reading since April, largely driven by a steep price decline in mining and quarrying (-11.8% vs 18% in November), particularly in extraction of crude petroleum and natural gas (-29.2% vs 16.1%). Costs also increased at a softer pace for manufacturing (0.3% vs 0.9%), mainly for tobacco products (1.6% vs 3.9%), repair and installation of machinery and equipment (5.6% vs 8.6%), alongside further declines in coke and refined petroleum products (-8% vs -1.3%). Additionally, producer inflation slowed for electricity, gas, steam and air conditioning supply (0.3% vs 3.6%), and water supply, sewerage, waste management and remediation activities (1.2% vs 1.4%). Excluding energy, prices were unchanged at 1.1% in December. On a monthly basis, producer prices fell by 0.4%, reversing a 0.4% increase in November.