Producer prices in Kosovo increased 2.3 percent year-on-year in the third quarter of 2018, following a 1.7 percent rise in the previous month. It was the highest producer inflation since the third quarter of 2017, as prices rose the most for manufacture of metals (14.6%); manufacture of machinery and equipment (7.3%); manufacture of electrical equipment (6 percent); production of non-metallic mineral products (5.5%) and manufacture of motor vehicles (transport), trailers and semi-trailers (3.3%). On the other hand, cost fell for metal ore extraction (-11.1%); manufacture of chemical products (-3.1 percent) and manufacture of leather and articles thereof (-1.9 percent). Compared to the previous quarter, producer prices went up 1 percent, after a 1.2 percent gain in the second quarter of 2018. Producer Prices Change in Kosovo averaged 2.37 percent from 2009 until 2018, reaching an all time high of 8.30 percent in the first quarter of 2011 and a record low of -1.30 percent in the first quarter of 2014.
Producer Prices Change in Kosovo is expected to be 3.00 percent by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate Producer Prices Change in Kosovo to stand at 2.50 in 12 months time. In the long-term, the Kosovo Producer Prices Change is projected to trend around 2.40 percent in 2020, according to our econometric models.