ADDITIONAL COMMENTARY


MINING INDUSTRIES PRODUCER PRICE INDEXES

INPUT TO THE COAL MINING INDUSTRY

The Input to the Coal mining industry price index rose 1.5% in the December quarter 2018. This follows a rise of 1.3% in the September quarter 2018.

Through the year to the December quarter 2018, the Input to the Coal mining industry price index rose 5.1%.

OUTPUT OF THE MINING INDUSTRIES

Prices received for Gas extraction, Domestic rose 1.2%, Gas extraction, Domestic, East coast market rose 1.9% and Gas extraction, Domestic, Western Australia fell 2.3% in the December quarter 2018.


MANUFACTURING INDUSTRIES PRODUCER PRICE INDEXES

The Input to the Manufacturing industries price index rose 0.2% in the December quarter 2018. This follows a rise of 0.8% in the September quarter 2018. The Output of the Manufacturing industries price index rose 0.9% following a rise of 0.9% in the September quarter 2018. Through the year to the December quarter 2018, Input to the Manufacturing industries price index rose 6.2%, while the Output of the Manufacturing industries price index rose 5.4%.

Rises in prices paid for Primary metal and metal product manufacturing (+1.5%), Metal ore mining manufacturing (+1.1%) and Wood product manufacturing (+5.1%) drove the rise in the price index of Inputs to the Manufacturing industries. Products contributing to these rises were steel, iron ore and timber.

Rises in prices received for outputs of Meat processing (+2.7%), Other basic non-ferrous metal manufacturing (+2.4%) and Aircraft manufacturing and repair services (+9.7%) drove the rise in the prices received for Outputs of the Manufacturing industries. Products contributing to these rises were beef, gold and spare parts.

CONSTRUCTION INDUSTRIES PRODUCER PRICE INDEXES

INPUT TO THE HOUSE CONSTRUCTION INDUSTRY

The Input to the House construction industry price index rose 0.4% in the December quarter 2018. This follows a rise of 1.0% in the September quarter 2018. The main drivers this quarter were rises in prices paid for electrical equipment (+3.4%), timber, board and joinery (+0.4%), other metal products (+0.4%) and steel products (+1.0%).

The capital city indexes rose in Melbourne (+0.5%), Sydney (+0.5%), Adelaide (+1.1%), Brisbane (+0.2%), Perth (+0.1%) and Hobart (+0.5%).

Through the year to the December quarter 2018, the Input to the House construction industry price index rose 3.2%. The main drivers for the year were rises in the prices paid for timber, board and joinery (+3.4%), electrical equipment (+12.4%), other materials (+2.9%) and other metal products (+2.1%).

OUTPUT OF THE CONSTRUCTION INDUSTRIES

The Output of the Construction Industries price index, Subdivision 30 - Building construction Australia rose 0.4% and Subdivision 31 - Heavy and civil engineering construction rose 1.0% in the December quarter 2018.

Subdivision 30 - Building construction Australia was driven by a rise in all Classes that contribute to Subdivision 30. The main contributor is Class 3020 - Non-residential construction Australia (+0.4%), driven by New South Wales (+0.7%), Victoria (+0.7%), South Australia (+0.7%) and Tasmania (+0.5), partially offset by a fall in Queensland (-0.3%). Class 3019 - Other residential building construction Australia (+0.5%), driven by Victoria (+0.6%), New South Wales (+0.5%) and South Australia (+0.7%). Class 3011 - House construction Australia (+0.2%), driven by New South Wales (+0.9%), South Australia (+0.7%), Australian Capital Territory (+1.0%) and Victoria (+0.2%), partially offset by Queensland (-0.5%).

Through the year to the December quarter 2018, Subdivision 30 - Building construction Australia recorded a rise of 2.3%. This rise was driven by increases in the prices received for Class 3019 - Other residential building construction Australia (+3.0%), Class 3020 - Non-residential building construction Australia (+2.4%) and Class 3011 - House construction Australia (+1.7%).

Subdivision 31 - Heavy and Civil engineering construction was driven by a rise in the prices received for Class 3109 - Other heavy and civil engineering construction (+1.1%) and Class 3101 - Road and bridge construction (+0.8%).

Through the year to the December quarter 2018, Subdivision 31 - Heavy and Civil engineering construction recorded a rise of 4.1%. This rise was driven by increases in the prices received for Class 3109 - Other heavy and civil engineering construction (+3.8%) and Class 3101 - Road and bridge construction (+5.0%).

SERVICES INDUSTRIES PRODUCER PRICE INDEXES

OUTPUT OF THE ACCOMMODATION AND FOOD SERVICES INDUSTRIES

The Output of the Accommodation and food services industries rose in the December quarter 2018. Prices received for Group 440 - Accommodation services rose 7.0% and Group 451 - Cafes, restaurants and takeaway food services rose 0.6%.


OUTPUT OF THE TRANSPORT, POSTAL AND WAREHOUSING INDUSTRIES

The Output of the Transport, postal and warehousing industries rose in the December quarter 2018. Prices received for Group 521 - Water transport support services rose 4.2% and Group 461 - Road freight transport rose 0.6%. Partially offsetting these rises was a fall in prices received for Group 530 - Warehousing and storage services (-0.3%).


OUTPUT OF THE INFORMATION MEDIA AND TELECOMMUNICATIONS INDUSTRIES

The Output of the Information media and telecommunications industries showed no change in the December quarter 2018. Prices received for Group 592 - Data processing, web hosting and electronic information services rose 0.2%, offset by a fall in Group 541 - Newspaper, periodical, book and directory publishing (-0.1%).


OUTPUT OF THE RENTAL, HIRING AND REAL ESTATE SERVICES INDUSTRIES

The Output of the Rental, hiring and real estate services industries rose in the December quarter 2018. Prices received for Class 6712 - Non-residential property operators rose 0.5% and Group 663 - Other goods and equipment rental and hiring rose 0.5%.


OUTPUT OF THE PROFESSIONAL, SCIENTIFIC AND TECHNICAL SERVICES INDUSTRIES

The Output of the Professional, scientific and technical services industries rose in the December quarter 2018. Prices received for Group 692 - Architectural, engineering and technical services rose 0.5% and Group 696 - Management and related consulting services rose 0.8%.


OUTPUT OF THE ADMINISTRATIVE AND SUPPORT SERVICES INDUSTRIES

The Output of the Administrative and support services industries fell in the December quarter 2018. Prices received for Group 731 - Building, cleaning, pest control and gardening services fell 0.3% and Group 729 - Other administrative services n.e.c. fell 0.2%. Partially offsetting these falls was a rise in prices received for Group 721 - Employment services (+0.2%).


OUTPUT OF THE PUBLIC ADMINISTRATION AND SAFETY INDUSTRIES

The Output of the Public administration and safety industries rose in the December quarter 2018. Prices received for Class 7712 - Investigation and security services rose 0.3%.


OUTPUT OF THE EDUCATION AND TRAINING INDUSTRIES

The Output of the Education and training industries showed no change in the December quarter 2018. Prices received for resident and non-resident consumption of Class 8102 - Higher education services showed no change in the December quarter 2018 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 December quarter 2018. Prices received for Group 871 - Child care services rose 0.8% and Group 851 - Medical services rose 0.2%.


OUTPUT OF THE OTHER SERVICES INDUSTRIES

The Output of the Other services industries rose in the December quarter 2018. Prices received for Class 9511 - Hairdressing and beauty services rose 0.7% and Class 9533 - Parking services rose 0.7%. Partially offsetting these rises were falls in prices received for Class 9520 - Funeral, crematorium and cemetery services (-0.3%) and Class 9531 - Laundry and dry-cleaning services (-0.2%).