Sri Lanka's Producer Prices Reach a 13-Month High
In October 2025, Sri Lanka experienced a 0.9% year-on-year increase in producer prices, recovering from a 0.5% decline observed over the previous two months. This rise in producer inflation marks the highest level since September 2024. The upsurge was largely driven by a 1.2% increase in manufacturing costs, compared to a modest 0.2% in September, with significant contributions from the food, tobacco, and clothing sectors. Furthermore, the deflation rate for agricultural products considerably eased, from -6.0% to -0.7%, propelled mainly by a significant rebound in the prices of perennial crops. Additionally, the decrease in costs for electricity, gas, steam, and air conditioning supply slowed, registering at -0.2% compared to the previous -2.2%. On a month-to-month basis, producer prices rose by 0.5% in October, overturning the revised 0.8% decline experienced in September.
