ADDITIONAL COMMENTARY


MINING INDUSTRIES PRODUCER PRICE INDEXES

INPUT TO THE COAL MINING INDUSTRY

The Input to the Coal mining industry price index fell 0.1% in the June quarter 2017. This follows a rise of 1.1 % in the March quarter 2017. The main contributing factors were falls in the price paid for Accommodation and Petroleum and coal product manufacturing.

Through the year to the June quarter 2017, the Input to the Coal mining industry price index rose 2.9%.

MANUFACTURING INDUSTRIES PRODUCER PRICE INDEXES

The Input to the Manufacturing industries price index rose 0.1% in the June quarter 2017. This follows a rise of 1.7% in the March quarter 2017. The Output of the Manufacturing industries price index rose 0.8% following a rise of 1.1% in the March quarter 2017. Through the year to the June quarter 2017, Input to the Manufacturing industries price index rose 4.2%, while the Output of the Manufacturing industries price index rose 3.7%.

Rises in prices paid for Agriculture to manufacturing (+3.0%), Primary metal and metal production (+3.1%) and Basic Chemical and chemical production (+3.9%) industries drove the rise in the price index of Inputs to the Manufacturing industries. Products contributing to these rises were milk, sheep and lambs, steel, and caustic soda.

Rises in prices received for outputs of Cheese and other dairy products (+6.3%), Basic non-ferrous metal manufacturing (+3.3%) and Meat processing (+2.6%), drove the rise in the prices received for Outputs to the Manufacturing industries. Products contributing to these rises were butter, cheese and curd, precious metal recovery, and frozen beef.

CONSTRUCTION INDUSTRIES PRODUCER PRICE INDEXES

INPUT TO THE HOUSE CONSTRUCTION INDUSTRY

The Input to the House construction industry price index rose 0.7% in the June quarter 2017. This follows a rise of 0.9% in the March quarter 2017. The main drivers this quarter were rises in prices paid for Timber, board and joinery (+0.8%), Other metal products (+0.7%) and Concrete, cement and sand (+1.7%).

The capital city indexes rose in Melbourne (+0.7%), Brisbane (+1.1%), Sydney (+0.9%), Adelaide (+1.2%) and Hobart (+0.3%).

Through the year to the June quarter 2017, the Input to the House construction industry price index recorded a rise of 2.0%. This rise was mainly driven by rises in the prices paid for Timber, board and joinery (+2.0%), Other metal products (+3.3%) and Electrical equipment (+6.6%).

OUTPUT OF THE CONSTRUCTION INDUSTRIES

The Output of the Construction industries price index, Subdivision 30 - Building construction Australia rose 0.9% and Subdivision 31 - Heavy and civil engineering construction rose 0.8% in the June quarter 2017.

Subdivision 30 - Building construction Australia was driven by rises in the prices received for Class 3011 - House construction Australia (+0.9%), which was driven by Queensland (+1.7%), Victoria (+1.2%) and New South Wales (+0.7%). Class 3020 - Non-residential building construction Australia rose (+0.8%), driven by New South Wales (+1.9%) and Queensland (+0.9%). Class 3019 - Other residential building construction rose (+0.8%), driven by New South Wales (+1.9%) and Queensland (+1.0%).

Through the year to the June quarter 2017, Subdivision 30 - Building construction Australia recorded a rise of 2.8%. This rise was driven by increases in the prices received for Class 3011 - House construction Australia (+3.1%), Class 3020 - Non-residential building construction Australia (+2.4%) and Class 3019 - Other residential building construction Australia (+2.6%).

Subdivision 31 - Heavy and civil engineering construction was driven by rises in the prices received for Class 3109 - Other heavy and civil engineering construction (+0.8%) and Class 3101 - Road and bridge construction (+0.7%).

Through the year to the June quarter 2017, Subdivision 31- Heavy and civil engineering construction recorded a rise of 1.6%. This rise was driven by increases in the prices received for Class 3109 - Other heavy and civil engineering construction (+1.4%) and Class 3101 - Road and bridge construction (+1.9%).

SERVICES INDUSTRIES PRODUCER PRICE INDEXES

OUTPUT OF THE ACCOMMODATION AND FOOD SERVICES INDUSTRIES

The Output of the Accommodation and food services industries fell in the June quarter 2017. Prices received for Group 440 - Accommodation fell 7.7%. Offsetting this fall was a rise for Group 451 - Cafes, restaurants and takeaway food services (+0.7%).


OUTPUT OF THE TRANSPORT, POSTAL AND WAREHOUSING INDUSTRIES

The Output of the Transport, postal and warehousing industries rose in the June quarter 2017. Prices received for Group 471 - Rail freight transport rose 15.3% and Group 461 - Road freight transport services rose 0.2%.


OUTPUT OF THE INFORMATION MEDIA AND TELECOMMUNICATIONS INDUSTRIES

The Output of the Information media and telecommunications industries fell in the June quarter 2017. Prices received for Group 592 - Data processing, web hosting and electronic information storage services fell 0.5%. Offsetting this fall was a rise for Group 541 - Newspaper, periodical, book and directory publishing (+0.5%).


OUTPUT OF THE RENTAL, HIRING AND REAL ESTATE SERVICES INDUSTRIES

The Output of the Rental, hiring and real estate services industries rose in the June quarter 2017. Prices received for Group 672 - Real estate services rose 2.9% and Class 6712 - Non-residential property operators rose 1.4%. Offsetting these rises was a fall for Group 663 - Other goods and equipment rental and hiring (-0.8%).


OUTPUT OF THE PROFESSIONAL, SCIENTIFIC AND TECHNICAL SERVICES INDUSTRIES

The Output of the Professional, scientific and technical services industries rose in the June quarter 2017. Prices received for Group 692 - Architectural, engineering and technical services rose 0.4% and Group 693 - Legal and accounting services rose 0.4%.


OUTPUT OF THE ADMINISTRATIVE AND SUPPORT SERVICES INDUSTRIES

The Output of the Administrative and support services industries fell in the June quarter 2017. Prices received for Group 721 - Employment services fell 1.0% and Group 731 - Build cleaning, pest control and gardening services fell 0.4%.


OUTPUT OF THE PUBLIC ADMINISTRATION AND SAFETY INDUSTRIES

The Output of the Public administration and safety industries rose in the June quarter 2017. Prices received for Class 7712 - Investigation and security services rose 0.2%.


OUTPUT OF THE EDUCATION AND TRAINING INDUSTRIES

The Output of the Education and training industries showed no movement in the June quarter 2017. Prices received for resident and non-resident consumption for Class 8102 - Higher education services showed no change in the June quarter 2017 as this is an annual collection recorded in the March quarter.


OUTPUT OF THE HEALTH CARE AND SOCIAL ASSISTANCE INDUSTRIES

The Output of the Health care and social assistance industries rose in the June quarter 2017. Prices received for Group 871 - Child care services rose 0.5% and Group 852 - Pathology and diagnostic imaging services rose 0.1%.


OUTPUT OF THE OTHER SERVICES INDUSTRIES

The Output of the Other services industries rose in the June quarter 2017. Prices received for Class 9511 - Hairdressing and beauty services rose 0.3%, Class 9520 - Funeral, crematorium and cemetery services rose 0.6%, Class 9531 - Laundry and dry-cleaning services rose 0.2% and Class 9533 - Parking services rose 0.1%.