Türkiye’s Non-Domestic Producer Price Index (ND-PPI), which tracks prices of goods produced for export, recorded a significant annual increase of 30.06% in July 2025, according to data released by the Turkish Statistical Institute (TurkStat) on Wednesday.

The index also rose by 3.03% month-on-month, reflecting persistent inflationary pressures in the country’s export-driven industrial sectors.

The ND-PPI, a key indicator of price changes for goods sold outside Türkiye, showed robust growth compared to December 2024, with a 23.40% rise, and a 25.46% increase on a twelve-month moving average basis. The manufacturing sector, a cornerstone of Türkiye’s export economy, drove much of the increase, with its ND-PPI climbing 30.10% annually and 3.01% monthly. The mining and stone quarrying sector also saw notable gains, with a 28.30% annual increase and a 4.22% monthly rise.

Breaking down the data by main industrial groups, the annual ND-PPI figures revealed significant variations. Capital goods led with a 34.48% surge, followed closely by non-durable consumer goods at 33.82% and durable consumer goods at 33.74%. Intermediate goods rose by 26.47%, while energy prices saw a more modest increase of 10.44%, likely reflecting global oil market fluctuations. On a monthly basis, non-durable consumer goods topped the list with a 3.76% increase, followed by durable consumer goods at 3.26%, capital goods at 2.99%, energy at 2.98%, and intermediate goods at 2.57%.

As Türkiye navigates these economic challenges, the government is expected to roll out new incentives for exporters, including tax breaks and subsidies for energy-intensive industries, by September 2025, according to sources cited by Reuters. However, with global economic uncertainties and domestic cost pressures mounting, the path to stabilizing prices remains fraught. (ILKHA)