In August industrial producer prices increased by 0.9 %

21.09.2006

Compared to July, producer prices in Latvian industry in August 2006 increased by 0.9%, according to the Central Statistical Bureau. Over the year (August 2006 over August 2005) producer prices have increased by 11.1%. In August 2005 prices increased by 1.2% compared to July but compared to August 2004 the increase was 6.2%.

Producer price indices and price changes in the eight months of 2006 were as follows:
in per cent


Price index(December 2005=100)

Price changes compared to

previous month

corresponding month of previous year

2006.g.

January

101,3

1,3

7,1

February

102,1

0,8

7,2

March

103,6

1,5

8,3

April

103,9

0,3

8,8

May

105,3

1,4

10,0

June

106,0

0,6

9,7

July

106,8

0,8

11,4

August

107,8

0,9

11,1



Producer price changes depending on the direction of product sales are shown in the table:
in per cent


August 2006 compared to

July 2006

August 2005

Industrial production, total

0,9

11,1

of which:

sold on the domestic market

0,7

10,1

exported

1,2

12,4

 


Producer price indices and price changes in the most relevant industrial sectors in August 2006
in per cent


Price index
(December 2005 = 100)

Price changes in August 2006 compared to

July 2006

August 2006

Industry - Total

107,8

0,9

11,1

Mining and quarrying

112,7

1,7

16,6

Manufacturing

106,9

0,9

10,2

Manufacture of food products and beverages

103,4

0,9

6,7

Manufacture of textiles

99,4

-1,8

1,4

Manufacture of wearing apparel; dressing and dyeing of fur

105,3

0,1

7,4

Manufacture of wood and of products of wood (except furniture)

105,0

1,9

8,0

Manufacture of pulp, paper and paper products

103,9

-8,7

-2,6

Publishing, printing and reproduction of recorded media

98,8

1,8

3,3

Manufacture of chemicals, chemical products and man-made fibres

104,8

1,9

10,1

Manufacture of rubber and plastic products

105,6

0,1

9,6

Manufacture of non-metallic mineral products

114,8

1,9

18,0

Manufacture of fabricated metal products (except machinery and equipment)

107,4

-0,5

8,2

Manufacture of machinery and equipment

107,8

0,8

9,7

Manufacture of electrical machinery and apparatus

104,6

-1,6

5,4

Manufacture of other transport equipment1

110,4

0,3

12,8

Manufacture of furniture; manufacturing n.e.c.

99,9

-2,6

2,6

Electricity, gas and water supply

114,1

0,9

16,8

Electricity, gas, steam and hot water supply

114,5

0,9

17,3

Collection, purification and distribution of water

105,1

0,0

7,2


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1Shipbuilding and repair as well as the manufacture of railway rolling stock.

Compared to July, the overall level of producer prices in August was mostly raised (by 0.4 percentage points) by price increases in the manufacture of wood and of products of wood (except furniture); mainly in sawing, planing and impregnation. The overall price level was raised by 0.2 percentage points due to price increases in the manufacture of food products and beverages (mainly in the processing and preserving of fish and fish products) and by 0.1 percentage point in each of the following activities - publishing, printing and reproduction of recorded media, manufacture of chemicals, chemical products and man-made fibres and manufacture of non-metallic mineral products. The overall price level also increased by 0.1 percentage point due to the rise in the tariffs of electricity, gas, steam and hot water supply (mainly in steam and hot water supply). In the same period the fall in the prices in the manufacture of pulp, paper and paper products and in the manufacture of furniture and manufacturing n.e.c. had a lowering effect (by 0.1 percentage point).

Over the year the rise in the tariffs of electricity, gas, steam and hot water supply has made the greatest impact on the overall level of producer prices raising it by 2.0 percentage points. The overall price level was raised due to the following price increases: 1.6 percentage points in the manufacture of wood and of products of wood (except furniture), 1.5 percentage points in the manufacture of food products and beverages, 0.7 percentage points in the manufacture of non-metallic mineral products and 0.4 percentage points in the manufacture of other transport equipment.

Prepared by the Producer Price Indices Section
Price Statistics Department
Aleksandrs Grzibovskis