On consumer price changes in January 2011

08.02.2011

Compared to December 2010 the average consumer price level in January 2011 rose by 1.3%. The average prices of goods rose by 1.6%, but of services – by 0.5%.

Price growth of food, goods and services related to housing and transport as well as price drop of clothing and footwear had the major impact on consumer price changes in January.

Price increase in food group was influenced by different factors – ending sales campaigns, increase of stock prices, rise of consumption taxes, as well as price fluctuations in world food markets. Prices of milk and dairy products increased by 4.9%, of cheese – by 7.2%, of fats and oils – by 3.8%, of meat and meat products - by 1.4%, of non-alcoholic beverages – by 3.0% and prices of sugar, sweets and honey - by 2.7%. Prices rose also for fruit - by 3.0% and potatoes - by 22.4%, while other vegetables became cheaper on average by 4.0%.

In housing group the major contribution to the price growth came from electricity which prices rose by 11.0%. Prices of solid fuel increased by 2.4% and prices of water supply and services related to housing - by 0.5%. Natural gas supply on average became cheaper by 4.6% and prices of heat energy decreased by 1.1%.

Prices of fuel on average increased by 5.2%, of which prices of petrol – by 5.3%, of diesel – by 4.4%, but prices of liquid petroleum gas grew by 9.6%.

Due to discounts and sales clothing became cheaper on average by 5.5%, clothing accessories – by 2.4% and footwear - by 4.0%.

In January price increases also were recorded for personal care goods (+5.4%), non-durable household goods (+3.8%), insurance (+2.2%), alcoholic beverages (+2.0%) and catering services (+0.6%).

Compared to January of previous year, consumer prices have increased by 3.7%. The average price level for goods increased by 5.5%, but for services - decreased by 3.8%.

The annual average rate of change in January 2011 was -0.5%.

In 2011 the Consumer Price Index (CPI) basket is revised and updated. The weights used in the calculations of the index reflect household expenditure in 2010.

In 2011 for the calculation of CPI each month in 2.1 thsd outlets all around the country approximately 19300 prices of 489 goods and services are collected.

Consumer price change by commodity groups, %:

Commodity group

Weight, %

January 2010- January 2011

December 2010- January 2011

Total

100.0

3.7

1.3

Food

25.4

8.4

2.1

Alcoholic beverages and tobacco

7.0

2.0

1.4

Clothing and footwear

5.2

-2.0

-4.7

Housing, water, electricity, gas and fuels

16.3

9.6

2.0

Furnishing, household equipment and operation

4.2

-2.4

0.8

Health care

5.8

-2.8

0.6

Transport

13.3

6.8

2.2

Communication

4.4

-2.7

0.2

Recreation and culture

7.5

-3.0

0.8

Education

1.7

1.1

0.0

Hotels and public catering

4.0

-1.2

0.6

Miscellaneous goods and services

5.0

-1.2

2.4

Sub-indices with most important impacts:

December 2010 - January 2011

Impact (percentage points)

Electricity

+0.33

Fuels

+0.30

Milk, cheese and eggs

+0.23

Personal care products

+0.11

Meat and meat products

+0.08

Alcoholic beverages

+0.08

Footwear

-0.06

Clothing

-0.18

 

January 2010 - January 2011

Impact (percentage points)

Fuels

+0.98

Heat energy

+0.77

Milk, cheese and eggs

+0.68

Vegetables

+0.43

Electricity

+0.34

Bread and cereal products

+0.33

Fruit

+0.23

Pharmaceutical products

-0.17

 

 

For further information:
Consumer Price Indices Section
Central Statistical Bureau of Latvia
Oskars Alksnis 371-67366865