Decrease in Wholesale Manufacturing Prices by 0.4% Observed in June, According to CSO
Ireland's Manufacturing Prices Show Moderate Increase, With Key Sector Variations
The Central Statistics Office (CSO) recently released figures showing a decrease in Irish manufacturing prices in June, marking a contrast to the 1.1% increase reported in May and the 0.4% yearly increase compared to the same time last year [1].
The decline in June was influenced by significant losses in various sectors, including computer, electronic, and optical products, basic pharmaceutical products, and other food products such as bread and confectionery [2]. These sectors experienced decreases of 1.1%, 1%, and 0.8% respectively.
However, not all sectors followed this downward trend. Sand and gravel prices saw a significant increase, while glass and fabricated metal prices also rose notably [2]. Building materials prices, although unchanged month-on-month, saw a 3.4% rise from last year [4].
The prices of the aforementioned products contributed to the annual losses in manufacturing. The decline in June was also influenced by the printing/reproduction of recorded media and the manufacture of medical and dental instruments [2].
The indices are used as a short-term indicator of the business cycle. They suggest that while overall manufacturing saw moderate increases in input and output prices, there were notable variations by industry [3].
In the electronics and pharmaceuticals sectors, although specific price changes are not detailed, the broad-based manufacturing growth and mention of recovery in export orders imply stable or rising prices in these export-oriented industries [1].
Food products experienced a 4.2% year-on-year increase, driven strongly by significant rises in dairy products (+22.0%) and meat & meat products (+6.4%), while prices for vegetables & animal oils & fats declined (-16.2%) [4]. The Food Products, Beverages & Tobacco index rose by 3.2% in the same period [4].
Chemicals & chemical products saw a notable increase in producer prices (+17.3%) over 12 months to June 2025 [4].
Despite these price fluctuations, the AIB Irish Manufacturing PMI remained in expansion territory (53.2 in July 2025), indicating continued growth in production and new orders, supported by stronger demand and export order recovery after several months of decline [1][2][3].
The appreciation of the euro against the dollar has mitigated some cost pressures on input prices [1][3]. Although input price inflation accelerated in July 2025, output price inflation was stable, reflecting manufacturers' ability to pass higher costs to customers without eroding margins [1][3].
Despite tariff uncertainties and global economic challenges, Irish manufacturers are moderately optimistic about growth prospects, anticipating potential pent-up demand if trade tensions ease [1][3].
In summary, Irish manufacturing sees moderate price inflation overall, with marked increases in food (especially dairy and meat) and chemical sectors, stable to modest rises in building materials, and broad sectoral production growth supporting these price trends.
The moderate increase in Ireland's manufacturing prices, as stated in the text, suggests a rise in financing needs within the manufacturing industry due to the cost of raw materials, considering the significant increases in food, chemical, and building materials sectors.
Despite the tariff uncertainties and global economic challenges, the optimistic outlook of Irish manufacturers regarding growth prospects indicates a potential finance boost for the industry if trade tensions ease and demand increases.
