Sri Lanka Producer Inflation Edges Up

Producer prices in Sri Lanka increased 3% year-on-year in January 2026, the most since June 2024, following a 2.5% rise in December. Manufacturing prices rose the most (3.7% vs 2.3% in December), with manufacturing of wearing apparel (9.1%), chemicals (8.2%), tobacco products (7.8%), rubber and plastics (7.8%) and transport equipment (7%) recording the biggest gains. Prices for utilities rebounded and were up 3.2%, after a 6% fall in December. On the other hand, cost for agriculture was down 1.1%, led by falls in animal production (-3.6%) and growing of perennial crops (-3%), and after a 5.8% jump in December. Compared to the previous month, the PPI edged up 0.3%.

Producer prices in Sri Lanka rose by 2.5% year-on-year in December 2025, accelerating from an upwardly revised 0.6% increase in the previous month. This marked the highest reading since September 2024, driven by a rebound in costs for agricultural products (5.8% vs -0.4% in November), particularly for perennial crops and animal production. Additionally, inflation increased further for manufacturing (2.3% vs 0.8%), supported by higher costs of chemical, tobacco, and food products. On the other hand, prices declined at a faster pace for electricity, gas, steam, and air conditioning supply (-6% vs -1%). On a monthly basis, producer prices climbed by 1.6% in December, following a 0.4% gain in the preceding period.

Producer prices in Sri Lanka rose 0.4% from the previous year in November of 2025, easing from the one-year high of 0.9% in the previous month. Inflation was muted for manufacturing (0.2%), amid a stall in producer prices of textiles and low price growth for food products (0.2%) and rubber (0.1%). In the meantime, producer prices fell for electricity and other utilities (-1.1%). On the other hand, inflation was higher for water collection and treatment (0.9%) and agriculture (1.8%). From the previous month, Sri Lankan producer prices rose by 0.4%.