ADDITIONAL COMMENTARY


MINING INDUSTRIES PRODUCER PRICE INDEXES

INPUT TO THE COAL MINING INDUSTRY

The Input to the Coal mining industry price index fell 0.5% in the March quarter 2019. This follows a rise of 1.5% in the December quarter 2018.

Through the year to the March quarter 2019, the Input to the Coal mining industry price index rose 3.1%.

OUTPUT OF THE MINING INDUSTRIES

Prices received for Gas extraction, Domestic fell 2.8%, Gas extraction, Domestic, East coast market fell 3.1% and Gas extraction, Domestic, Western Australia fell 1.4% in the March quarter 2019.


MANUFACTURING INDUSTRIES PRODUCER PRICE INDEXES

The Input to the Manufacturing industries price index rose 0.6% in the March quarter 2019. This follows a rise of 0.2% in the December quarter 2018. The Output of the Manufacturing industries price index rose 0.3% following a rise of 0.9% in the December quarter 2018. Through the year to the March quarter 2019, Input to the Manufacturing industries price index rose 4.0%, while the Output of the Manufacturing industries price index rose 4.7%.

Rises in prices paid for Metal ore mining manufacturing (+7.1%), Food product manufacturing (+3.8%) and Fabricated metal product manufacturing (+4.1%) drove the rise in the price index of Inputs to the Manufacturing industries. Products contributing to these rises were gold, milk and steel.

Rises in prices received for outputs of Other basic non-ferrous metal manufacturing (+5.8%) and Copper, silver, lead and zinc smelting and refining (+6.3%) drove the rises in the prices received for Outputs of the Manufacturing industries. Products contributing to these rises were gold and zinc.





CONSTRUCTION INDUSTRIES PRODUCER PRICE INDEXES

INPUT TO THE HOUSE CONSTRUCTION INDUSTRY

The Input to the House construction industry price index rose 0.2% in the March quarter 2019. This follows a rise of 0.4% in the December quarter 2018. The main drivers this quarter were rises in prices paid for other metal products (+0.4%), steel products (+1.2%), installed gas and electrical products (+0.9%) and electrical equipment (+0.5%).

The capital city indexes rose in Sydney (+0.6%), Brisbane (+0.4%), Perth (+0.3%), Hobart (+1.2%) and Adelaide (+0.1%), partially offset by a fall in Melbourne (-0.4%).

Through the year to the March quarter 2019, the Input to the House construction industry price index rose 2.3%. The main drivers for the year were rises in the prices paid for timber, board and joinery (+1.9%), other materials (+2.5%) and electrical equipment (+6.3%).




OUTPUT OF THE CONSTRUCTION INDUSTRIES

The Output of the Construction Industries price index, Subdivision 30 - Building construction Australia rose 0.2% and Subdivision 31 - Heavy and civil engineering construction rose 0.5% in the March quarter 2019.

Subdivision 30 - Building construction Australia was driven by rises in Class 3020 - Non-residential construction Australia (+0.5%), driven by New South Wales (+0.8%), Queensland (+0.4%) and South Australia (+0.7%) and Class 3019 - Other residential building construction Australia (+0.4%), driven by New South Wales (+0.8%), Queensland (+0.8%), South Australia (+0.7%) and Victoria (+0.1%). Partially offsetting the rise was a fall in Class 3011 - House construction Australia (-0.3%), driven by a softening housing market in Victoria (-1.5%) and Queensland (-0.5%), partially offset by a rise in New South Wales (+0.9%).

Through the year to the March quarter 2019, Subdivision 30 - Building construction Australia recorded a rise of 2.1%. This rise was driven by increases in the prices received for Class 3020 - Non-residential building construction Australia (+2.6%), Class 3019 - Other residential building construction Australia (+3.1%) and Class 3011 - House construction Australia (+0.8%).

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 (+0.5%).

Through the year to the March quarter 2019, 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 (+4.1%) and Class 3101 - Road and bridge construction (+3.7%).



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 March quarter 2019. Prices received for Group 440 – Accommodation services fell 3.3%. Partially offsetting this was a rise in prices received for Group 451 – Cafes, restaurants and takeaway food services (+ 0.4%) due to input cost pressures.


OUTPUT OF THE TRANSPORT, POSTAL AND WAREHOUSING INDUSTRIES

The Output of the Transport, postal and warehousing industries rose in the March quarter 2019. Prices received for Class 5291 – Customs agency services rose 4.8% following new security screening rules pushing up costs and prices for Group 510 – Postal and courier pick–up and delivery services rose 0.5%. Partially offsetting these rises was a fall in Group 461 – Road freight transport (-0.2%) following a decrease in fuel surcharges.


OUTPUT OF THE INFORMATION MEDIA AND TELECOMMUNICATIONS INDUSTRIES

The Output of the Information media and telecommunications industries recorded no change in the March quarter 2019. Prices received for Group 541 – Newspaper, periodical, book and directory publishing rose 0.3%, this rise was offset by a fall in prices received for Class 5922 – Electronic information storage services (-0.7%).


OUTPUT OF THE RENTAL, HIRING AND REAL ESTATE SERVICES INDUSTRIES

The Output of the Rental, hiring and real estate services industries rose in the March quarter 2019. Prices received for Class 6712 – Non–residential property operators rose 0.7%, partially offset by a fall in Group 672 – Real estate services (-1.8%) driven by continued weakness in the housing sector.


OUTPUT OF THE PROFESSIONAL, SCIENTIFIC AND TECHNICAL SERVICES INDUSTRIES

The Output of the Professional, scientific and technical services industries rose in the March quarter 2019. Prices received for Group 692 – Architectural, engineering and technical services rose 0.5% and Class 6962 – Management advice and related consulting services rose 0.6%.


OUTPUT OF THE ADMINISTRATIVE AND SUPPORT SERVICES INDUSTRIES

The Output of the Administrative and support services industries fell in the March quarter 2019. Prices received for Group 721 – Employment services fell 0.4%.


OUTPUT OF THE PUBLIC ADMINISTRATION AND SAFETY INDUSTRIES

The Output of the Public administration and safety industries rose in the March quarter 2019. Prices received for Class 7712 – Investigation and security services rose 0.5%.


OUTPUT OF THE EDUCATION AND TRAINING INDUSTRIES

The Output of the Education and training industries rose in the March quarter 2019. Prices received for non-resident consumption for Class 8102 – Higher education services rose 4.0% and prices received for resident consumption for Class 8102 – Higher education services rose 2.0%.


OUTPUT OF THE HEALTH CARE AND SOCIAL ASSISTANCE INDUSTRIES

The Output of the Health care and social assistance industries rose in the March quarter 2019. Prices received for Group 871 – Child care services rose 1.2% and prices received for Group 851 – Medical services rose 0.2%.


OUTPUT OF THE OTHER SERVICES INDUSTRIES

The Output of the Other services industries rose in the March quarter 2019. Prices received for Class 9511 – Hairdressing and beauty services rose 1.0% and Class 9533 – Parking Services rose 0.6%