On producer price changes in industry in 2010

21.01.2011

Compared to average level of 2009, the producer prices in 2010 increased by 3.1%, according to the data of Central Statistical Bureau of Latvia. Mostly prices grew in waste collection, treatment and disposal activities; materials recovery (by 40.9%), in the manufacture of basic metals (by 24.5%), in the manufacture of wood and of products of wood, except furniture (by 10.0%).

Compared to December 2009, producer prices in industry in December 2010 increased by 8.0%. The rise in prices of products sold on the domestic market was 6.3%, but prices of exported products rose by 10.5%. The changes of the prices in electricity, gas, steam and air conditioning supply (of 10.1%), in the manufacture of basic metals (of 43.8%), in the manufacture of wood and of products of wood, except furniture (of 10.5%) and in the manufacture of food products (of 7.0%) had the biggest upward impact on the overall level of producer prices.

Compared to November, the overall level of producer prices in Latvian industry in December 2010 increased by 0.3%. Growth of prices was observed both for goods sold on the domestic market (by 0.3%) and for exported goods (by 0.1%). The overall level of producer prices was mostly influenced by price increases in waste collection, treatment and disposal activities; materials recovery (by 10.7%), in the manufacture of basic metals (by 2.4%), in the manufacture of chemicals and chemical products (by 5.4%). But the changes of the prices in the manufacture of wood and of products of wood, except furniture (of 0.7%) and in the manufacture of basic metals, except machinery and equipment (of 1.4%) had the biggest downward impact on the overall level of producer prices.

Producer price changes over the corresponding month of the previous year

 

Producer price changes in December 2010

 

Weights (%)

Price changes (%) in December 2010 compared to

November 2010

December 2009

Total industrial production

100.0

0.3

8.0

 

Mining and quarrying

1.8

2.7

4.6

 

Manufacturing

74.8

0.1

7.0

 

Electricity, gas, steam and air conditioning supply

21.6

0.0

10.1

 

Water supply, sewerage, waste management and remediation activities

1.8

8.1

25.7

Products sold on the domestic market

100.0

0.3

6.3

 

Mining and quarrying

1.3

0.2

-2.7

 

Manufacturing

61.2

0.1

4.0

 

Electricity, gas, steam and air conditioning supply

35.4

0.0

9.4

 

Water supply, sewerage, waste management and remediation activities

2.1

10.8

28.5

Exported products

100.0

0.1

10.5

 

of which:

 

 

 

 

mining and quarrying

2.6

4.4

10.0

 

manufacturing

95.5

0.0

10.0

In the 4th quarter of 2010, compared to the previous quarter, the overall level of producer prices remained constant. Price increases were observed in the manufacture of chemicals and chemical products (of 5.0%), in the manufacture of basic metals (of 3.8%), in the manufacture of paper and paper products (of 3.2%). Meanwhile, in other sectors producer prices decreased during this period: in electricity, gas, steam and air conditioning supply (by 3.8%), in the manufacture of wearing apparel (by 1.3%).

Compared to the 4th quarter of 2009, producer prices in the 4th quarter of 2010 increased on average by 7.5%. Mostly prices grew in the manufacture of basic metals (by 37.0%), in waste collection, treatment and disposal activities; materials recovery (by 27.9%), in the manufacture of paper and paper products (by 14.6%), as well as in the manufacture of wood and of products of wood, except furniture (of 11.9%).

Since the corrections of data were submitted by respondents, producer price index for November 2010 was recalculated. Press release on producer price changes in industry in January 2011 will be published on 21 February 2011.

More detailed information can be found in the CSB data base.

 

Prepared by Producer Price Indices Section
Diāna Krūmiņa
Tel. 67366784