PPI · Yİ-ÜFE
Producer Price Index
Short definition
PPI (Turkish Yİ-ÜFE) is the producer-price change of domestically produced goods. It is a macro proxy for input and inventory cost; pass-through into CPI can be lagged and incomplete.
Detailed explanation
In energy- and commodity-heavy sectors PPI diverges sharply from CPI. Inventory costing carries past PPI into today’s P&L.
Without pass-through, contribution erodes with PPI. Imported inputs are a mix of PPI and FX.
Why it matters for the CFO
Sourcing and inventory policy carry a PPI shock into 13-week cash. If selling prices are locked to CPI, the gap closes.
How to read it
The PPI/CPI gap is a macro signal of producer margin. Sector PPIs beat the headline.
Related calculators
Güven Sayılgan’s writing on this topic
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Related terms
What to learn next
Definitions are educational. They are not investment, credit or tax advice.