0. Prerequisites

0.1 Legal environment

0.1.1 Responsibility for collecting, processing, and disseminating statistics

Federal State Statistics Service (Rosstat)

·         The compilation and dissemination of the data are governed by the terms and conditions of the Federal Law of November 29, 2007 No. 282-FZ On Official Statistical Accounting and State statistics system in the Russian Federation,  (Об официальном статистическом учете и системе государственной статистики в Российской Федерации) and  Statute on the Federal State Statistics Service, adopted by Decree of the Government of the Russian Federation on July 02, 2008 №420 (Положение о Федеральной службе государственной статистики

·         Article 1 of the Statute stipulates that the Federal State Statistics Service (the Rosstat) shall provide official statistical information that constitutes part of government information resources on the country’s social, economic, demographic and ecologic status.

·         Article 5.2 of the Statute stipulates that the Federal State Statistics Service shall develop the official statistical methodology for compilation of statistical observations, and provide conformity of the specified methodology to the international standards.

The above mentioned documents is available in Russian on the following Rosstat's webpage:

Federal Law On Official Statistical Accounting and State statistics system in the Russian Federation ((http://www.gks.ru/news/fz282.htm);

Statute on the Federal State Statistics Service (http://www.gks.ru/free_doc/new_site/rosstat/post_rosstat.htm).

0.1.2 Data sharing and coordination among data-producing agencies are adequate

The Statute and the Law provides Rosstat has the right to receive from respondents primary statistical data and administrative data, including those containing information classified as State secrets, commercial secrets, information about taxpayers, personal data of individuals subject to their obligatory depersonalization, and other information, access to which is restricted by federal laws, in order to compile official statistical information (Article 6.1 of the Statute, Article 9 of the Law).

0.1.3 Confidentiality of individual reporters' data

Federal State Statistics Service (Rosstat)

Article 5.16 of the Statute stipulates that the Rosstat shall provide in appropriate way the storage and protection of official, banking, tax, and commercial and other confidential information, received by the Rosstat during its activities.

0.4 Quality management

0.4.1 Processes are in place to focus on quality

The document was developed taking into account the principles of official statistical accounting established by the Law, the fundamental principles of official statistics approved at the 68th session of the UN General Assembly on January 23, 2014, the Generic Statistical Business Process Model (version 5.0) prepared by the UNECE High Level Group, and international standards for ensuring the quality of official statistical information.

1. Integrity

1.1 Professionalism

1.1.2 Choices of sources and statistical techniques as well as decisions about dissemination are informed solely by statistical considerations.

Article 4 of the Law defines rational choice of sources in order to generate official statistical information to ensure its completeness, reliability and timeliness of provision, as well as to reduce the burden on respondents as one of the principles of official statistics.

Article 7 of the Law states that Rosstat develops official statistical methodology, which includes methods of collecting, monitoring, dissemination, aggregation and grouping primary statistical data and administrative data, compiling national accounts, assessing the accuracy of official statistical information and its systematization, and official statistical methodology of the development of statistical information.

Article 4 of the Law states that the official statistical methodology should be scientifically substantiated, consistent with international standards and principles of official statistics, as well as the legislation of the Russian Federation, open and accessible.

Rosstat disseminate official statistical information by publishing in official publications, the media and posting for publican free access on the official website of Rosstat (www.gks.ru).

1.1.3 The appropriate statistical entity is entitled to comment on erroneous interpretation and misuse of statistics.

In case of misinterpretation or misuse of statistical data, Rosstat may send a denial to the media, which allowed the distortion of official statistical information, for further publication.

1.2 Transparency

1.2.1 The terms and conditions under which statistics are collected, processed, and disseminated are available to the public.

Methodological documents on the monitoring of producer prices for goods and services and the calculation of the producer price index are available publically free for all users on the official website of the Rosstat

http://www.gks.ru/wps/wcm/connect/rosstat_main/rosstat/ru/statistics/tariffs/

1.2.2 Internal governmental access to statistics prior to release

Federal State Statistics Service (Rosstat)

There is no government access to the data before its release.

1.2.3 Attribution of statistical products

Federal State Statistics Service (Rosstat)

The data are published without ministerial commentary.

1.2.4 Advance notice of major changes in methodology, source data, and statistical techniques.

Federal State Statistics Service (Rosstat)

Major changes in methodology are noted in the relevant publications after their implementation. Методологические положения по статистике (Methodological Principles in Statistics), methodology comments in the bulletin Обследование населения по проблемам занятости (Population Survey of Employment Problems), and other methodological materials are posted on the Rosstat's webpage.

Price index: Producer prices

The Rosstat announces significant changes in methodology, source data, and compilation techniques in advance. Changes in the methodology for computation of the producer price index are reflected in the “Methodological Explanations” section of the monthly report Социально-экономическое положение России (Socio-economic Situation in Russia), and also in methodological developments, which are listed on the website of the Rosstat.

1.3 Ethical standards

1.3.1 Guidelines for staff behavior are in place and are well known to the staff.

In the performance of official duties Rosstat employees adhere to the standards of conduct established by the Code of Ethics and official conduct of Rosstat civil servants, approved by order of Rosstat on October 10, 2016.

Article 15 of the Federal Law of July 27, 2004 No. 79-FZ “On the Civil Service of the Russian Federation” (О государственной гражданской службе Российской Федерации) establishes the duties of civil servants related to the observance of official conduct

2. Methodology

2.1 Concepts and definitions

2.1.1 Concepts and definitions

·         Definition: Measure of change in the prices of a fixed set of representative products (goods) of constant quantity and quality for all producer units.

The producer price index for industrial goods is calculated using the Laspeyres formula for the entire territory of the Russian Federation.

The producer price index for industrial goods is calculated by type of economic activity (OKVED2 classifier) under sections B “Mining”, C “Manufacturing”, D “Electricity, gas, steam and air conditioning supply” and E “Water supply; sewerage, waste management and remediation activities” and broken down by the largest classes, subclasses, groups and subgroups.

Producer price indices of industrial goods by economic activity are calculated on the basis of monthly registration of prices for goods (services) —representatives in selected base organizations for observation. Observation is carried out in approximately 10,000 organizations as of the 22nd day of the reporting month. The calculation of price indices is made for more than 1,100 representative products. The actual prices of goods produced and shipped (services rendered), which are intended to be sold on the domestic market (excluding VAT, excise taxes and other taxes that are not included in the cost, ex works station) are recorded.

About 29,000 price quotations are registered for goods (services) - representatives of various activities.

The source of weights is statistical observation data on the value of shipped own-produced goods, work performed and services performed in-house at actual prices for the base year for a full range of organizations (excluding VAT and excise taxes). Weights for calculating PPI are reviewed annually. As a base year for weights, information is used for the year preceding the previous year.

The producer price index for industrial goods is published monthly without seasonal adjustment.

2.2 Scope

2.2.1 Scope

By economic activities: Activity groups of producer units (mining, manufacturing, production and distribution of electricity, gas, and water). 

Product coverage: Actual prices of a set of representative goods and services selected for observation (more than 1100 items), which are intended for sale in the domestic market, are recorded (not including VAT, excise taxes, and other taxes that are not included in production costs, free departure station). 

Geographic coverage: The recording of producer prices is performed in all of the constituent territories of the Russian Federation.

2.2.1.2 Exception from the scope

At the moment of price registration, data on prices of a one-time sale of goods to “occasional” consumers with very low or very high price levels are excluded, as they do not reflect the real price dynamics.

2.3 Classification/ sectorization

2.3.1 Classification/sectorization

·         Classification: Since 2017 the calculation of PPI is based on the OKVED2 (Russian Classification of Economic Activities and covers all of the mining, manufacturing and energy industries (that is, Sections B, C, D and E of OKVED2 ) and no other sections of OKVED2. The Rosstat also produces other producer price indices, including, agricultural products, forestry, fishing, construction, cargo transportation and communications.

·         Classification of Organizations by OKPO (Russian Classification of Enterprises and Organizations)

·         Classification of activities by OKVED2 (Russian Classification of Economic Activities)

·         Classification of products by OKPD2 (Russian Classification of Products by economic activity)

2.4 Basis for recording

2.4.1 Valuation

·         Types of prices: Prices of products intended for sale in the domestic market (not including VAT, excise taxes, and other taxes that are not included in production costs, free departure station) are recorded.

3. Accuracy and reliability

3.1 Source data

3.1.1 Source data collection programs

• Sources of weights: Weights are derived from industry survey data on production output in value terms at current prices for the base year for the full range of organizations.
• Period of current index weights: Information for the year before last is used as the base year for weights.
• Frequency of weight updates: Weights for calculating the PPI are revised annually when the PPI for January of the reference year is calculated.
• Organization establishment: Organizations are selected on the basis of combined method: a stratified sample or a full-scope survey of organizations engaged in certain economic activities.
• Product/transaction selection: Representative goods and services are selected on the basis of a targeted sample. A list of representative goods and services and product groups that are necessary for calculation of the PPI at the federal level and that are the most significant in terms of describing Russia's types of economic activities. Product/transaction specification: The registration of producer prices is performed for specific product brands, grades, and articles that represent a product group selected for the survey.
• Sample sizes: Producer prices are recorded at 10000 organizations. Approximately 29,000 product prices are tracked each month.
• Price collection methods: Prices are recorded using paper forms, which are completed by specialists at the organizations being surveyed.

3.1.3 Source data timeliness

·         Timing of price observations: The recording of producer prices at organizations selected for price observations is performed monthly as of the 22th of the reference month.

3.3 Statistical techniques

3.3.1 Source data statistical techniques

• Computation of lowest level indices: Individual price indices are computed by obtaining the ratio of prices in the reference period to prices in the previous period.
• Aggregation formula: A modified Laspeyres formula is used to aggregate product indices in order to obtain indices of classes, subclasses, groups, subgroups and rinds of economic activities.
• Aggregation structure: Product (service) indices are aggregated by product (service) group, and economic activity.
• Alignment of value weights and base period: Adjustments are made to the weights to assure that the base periods of the weights and prices are comparable (weights in terms of value are recalculated in December prices of the previous year).
• Linking of reweighted index to historical index: To ensure the comparability of information in two successive years, price indices for the previous year are recomputed based on updated weights used in the reference year. These data are used only to compute price indices relative to periods in the previous year.
• Reference period: December of the previous year is used as the period when the price index = 100.

3.3.2 Other statistical procedures

• Treatment of missing prices: “Estimated” prices are imputed when prices are temporarily unavailable.
• Selection of replacement items: In cases in which an existing modification has been permanently taken out of production, it is replaced if possible, or it is eliminated from the calculations in accordance with the current methodology for computing producer price indices.
• Adjustments for quality differences: An adjustment for quality differences when replacement items are selected must be performed following the current methodology for the computation of producer price indices through a price adjustment.
• Introducing new products: New products are introduced into the computation when the transition is made to a new base for the computation of price indices and weights are revised.
• Seasonal items: In cases in which products are unavailable seasonally, methods for imputing prices are used.
• Seasonally-adjusted indices: Producer price indices are not computed with a seasonal adjustment.
• Other aspects: Other aspects of data sources and producer price index compilation practices are described in Methodological Principles in Industrial Producer Price Surveys and the Compilation of Producer Price Indices.

3.4 Data validation

3.4.1 Validation of intermediate results

Verification of prices: Methods for checking input data are used to validate the accuracy and reliability of collected price information. 

·         Verification of processing: Methods to check index compilation and output data are used to validate the accuracy of the computation of producer price data at various stages of data processing.

4. Serviceability

4.1 Periodicity and timeliness

4.1.1 Periodicity

Monthly

4.1.2 Timeliness

Average prices and price indices of manufacturers of industrial goods are posted on the Rosstat website on the 12th working day after the reporting month.

4.2 Consistency

4.2.1 Internal consistency

Data on producer price index can be cross-checked by the public against detailed data broken down by kinds of activities (OKVED2) for sections B, C, D, E as a whole, broken down by the largest classes, subclasses, groups and subgroups, and also by regions of the Russian Federation, published in the following annual publications :

·         Российский статистический ежегодник (Statistical Yearbook of Russia) (in Russian only);

·         Цены в России (Prices in Russia) (in Russian only);

·         Регионы России. Социально-экономические показатели (Regions of Russia. Social and Economic Indicators) (in Russian only);

·         Russia in Figures (Россия в цифрах) (in Russian and in English);

·         Промышленность России (Industry of Russia) (in Russian only).

4.3 Revision

4.3.1 Revision schedule

The data are provisional when first released and are revised one year after the reference period.

4.3.2 Identification of preliminary and/or revised data

When first published, PPI data are noted in publications as being preliminary and subject to revision.

5. Accessibility

5.1 Data

5.1.1 Statistical presentation

Data are disseminated on the producer price index (PPI), a Laspeyres index (2010=100), covering the Russian Federation as a whole.

The PPI is calculated by kinds of economic activities in accordance with the Общероссийский классификатор видов экономической деятельности – ОКВЭД2 (OKVED 2- Russian Classification of Types of Economic Activities for sections: C "Mining and quarrying", D "Manufacturing", E "Electricity, gas and water supply" and is broken down by the largest classes, subclasses, groups and subgroups.

The PPI by kinds of economic activities is calculated on the basis of monthly recording of prices for representative goods and services in the base organizations selected for the survey. The index is calculated based on approximately 29,000 price quotations collected by more than 10,000 organizations on more than 1100 representative products on the 22th day of the reference month. Prices of products intended for sale in the domestic market (not including value-added taxes (VAT), excise taxes, and other taxes that are not included in production costs, free departure station) are recorded.

Weights are derived from industry survey data on total value of dispatched goods of own production, performed works and services using own in-house capabilities at current prices for the base year for the full range of organizations. Weights for calculating the PPI are revised annually when the PPI for January of the reference year is calculated. The base year is the year proceeding the previous year.

The data are not seasonally adjusted.

5.1.2 Dissemination media and format

Annual publications:

Российский статистический ежегодник (Statistical Yearbook of Russia) (in Russian only);

Регионы России. Социально-экономические показатели (Regions of Russia. Social and Economic Indicators) (in Russian only);

Russia in Figures (Россия в цифрах) (in English and in Russian).

To order a copy, please contact the above address.

Electronic - On-line bulletin or data

On-line country bulletin board or database
Internet Address:

http://www.gks.ru/wps/wcm/connect/rosstat_main/rosstat/en/main/

5.1.3 Advance release calendar

The precise release dates for the current month and the upcoming three months are listed on the website of the Rosstat:

http://www.gks.ru/wps/wcm/connect/rosstat_main/rosstat/ru/statistics/imf/release/

5.1.4 Simultaneous release

Data are simultaneously released to all interested parties on the English website of the Rosstat (http://www.gks.ru/wps/wcm/connect/rosstat_main/rosstat/en/main/)

and in Russian in the monthly Rosstat's bulletin Социально-экономическое положение России (Socio-Economic Situation in Russia), which is also accessible on the above-mentioned website.

5.2 Metadata

5.2.1 Dissemination of documentation on concepts, scope, classifications, basis of recording, data sources, and statistical techniques

The methodology for compiling the producer price index of manufactured goods, data on average prices and price indices of manufactured goods producers and weights for PPI compilation are available in free public access at the Rosstat official website.

5.3 Assistance to users

5.3.1 Contact points for each subject field are publicized

The contact details of Rosstat specialists dealing with producer price statistics are available both on the site of the Rosstat central office and on the sites of its territorial bodies.