(MENAFN) South Korean suppliers saw a slight reduction in the cost of goods and services over the past three months, primarily due to a decline in service fees, data from the central bank revealed on Tuesday.

According to Bank of Korea (BOK) figures, the Producer Price Index (PPI) dropped by 0.1% in August compared to July. This followed a 0.4% rise in July and a modest 0.1% increase in June.

Agricultural, livestock, and fishery products saw a price hike of 3.4% last month, a deceleration from the 5.6% increase recorded in July, mainly driven by slower growth in agricultural prices.

The PPI for industrial goods, which includes oil products, remained stable in August, showing no monthly change after a 0.2% rise in July.

Prices for coal and oil products fell by 1.1%, while prices for food and beverages, chemicals, primary metals, and electronic equipment saw small increases in the single digits.

Energy prices, including electricity, natural gas, and tap water, remained unchanged in August, after experiencing declines for three consecutive months.

The overall service sector price decreased by 0.4%, reflecting lower costs in information, communications, and broadcasting services.

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