Export and import price indices - December 2008

In December 2007, export prices increased by 1.3% and import prices decreased by 1.0%, month-on-month. Year-on-year, export prices increased by 1.2% and import prices decreased by 2.2%. The terms of trade figures reached 102.3%, m-o-m, and 103.5% y-o-y. On average for the year 2008, in comparison to 2007 export prices decreased by 4.6 %, import prices by 3.3 %, terms of trade stood at 98.7 %.
Month-on-month comparison:

- Exports : export prices increased by 1.3% in December, especially due to weakening of the Czech koruna to Euro. The growth of the total m-o-m export price index came mainly from a 2.5% price increase in ‘machinery and transport equipment’ (especially road vehicles). Price growths were registered for ‘miscellaneous manufactured articles’ (+2.6%) and ‘manufactured goods classified chiefly by materials’ (+1.1%). In contrast, the most significant price drops were recorded in ‘mineral fuels’ (-5.4%), ‘crude materials, inedible, except fuels’ (-2.7%, mainly ‘metal scrap’) and ‘chemicals’ (-2.0%).

- Imports: Import prices decreased for the second month in a row, this time by 1.0%. The drop of the total m-o-m import price index was driven mainly by a 14.7% fall in prices of 'mineral fuels, lubricants and related materials’ (especially ‘petroleum, petroleum products and related materials’). The prices of ‘crude materials, inedible, except fuels’ decreased by 5.3%. Among sections important in terms of weights, price growths were recorded in ‘food and live animals’ by 3.4%, ‘miscellaneous manufactured articles’ by 2.0% and ‘machinery and transport equipment’ by 1.1%.

- The terms of trade figures stood at 102.3% in December (102.1% in November). The highest positive terms of trade figures were recorded for 'mineral fuels, lubricants and related materials' (110.9%) and ‘crude materials, inedible, except fuels’ (102.7%). The terms of trade figures of 'machinery and transport equipment' reached 101.4%. On the contrary, the lowest values were recorded for ‘food and live animals’ (95.6%) and for ‘chemicals’ (98.8%).

Year-on-year comparison:

- Exports: export prices increased by 1.2% in December (-1.4% in November) and they grew for the first time after fourteen months. The biggest price increases were registered in ‘mineral fuels, lubricants and relative materials’ by 9.1% (especially coal) and ‘manufactured goods classified chiefly by materials’ by 7.2%. The prices of ‘machinery and transport equipment’ increased by 0.4%. On the contrary, the biggest price drops among important sections were recorded for ‘crude materials, inedible, except fuels’ (-16.6%), ‘food and live animals’ (-12.4%) and ‘chemicals’ (-2.9%).

- Imports: import prices decreased for the seventeenth successive month, this time by 2.2% (-1.7% in November) The drop of the total y-o-y import price index was mainly affected by a 18.0% price decrease in ‘mineral fuels, lubricants and relative materials’ (especially petroleum and petroleum products). Considerable price decreases were observed also in 'chemicals' by 2.2% and ‘machinery and transport equipment’ by 1.9%. The biggest growth was recorded for ‘crude materials, inedible, except fuels’ by 18.6% (+24.6 in November).

- The terms of trade figures increased and stood at positive value of 103.5% in December (100.3% in November). Higher values of terms of trade figures were recorded for ‘mineral fuels, lubricants and related materials' (133.0%) and ‘manufactured goods classified chiefly by materials’ (106.7%). The terms of trade figures of ‘machinery and transport equipment’ stood at 102.3%. On the contrary, negative values were recorded for ‘crude materials, inedible, except fuels’ (70.3%) and ‘food and live animals’ (85.3%).
Year-on-year comparison:

- Over the year 2008, on average, export prices decreased by 4.6% (+1.3% in 2007), import prices decreased by 3.3% (-1.0% in 2007).

- The most significant drop in export prices was recorded in ‘machinery and transport equipment’ (mainly road vehicles) by 7.2%, ‘miscellaneous manufactured articles’ by 6.6% and ‘chemicals’ by 4.8%. Among more important sections, an increase (+15.6%) was reported only for prices of ‘mineral fuels’ (coal especially).

- The most marked decrease in import prices was reported also for 'machinery and transport equipment' by 8.2% (especially electrical machinery, apparatus and appliances), 'miscellaneous manufactured articles' by 6.2%, ‘chemicals’ and ‘manufactured goods classified chiefly by materials’ decreased by 4.6%. On the contrary, among more important sections the highest increase recorded prices of ‘mineral fuels, lubricants and related materials’ (especially petroleum and petroleum products) by 17.3% and prices of ‘crude materials, inedible, except fuels’ by 8.2%.
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- Terms of trade reached in total the negative value of 98.7% in 2008 (in 2007 they stood at 102.3%). However, their level during the last quarter of 2008 began to increase - in Q4 terms of trade figures stood at 100.3%.

Analysis - Development of external trade price indices in the fourth quarter of 2008 and over the year 2008

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Note
Contact: Vladimír Klimeš, phone (+420) 274 054 102, e-mail: vladimir.klimes@csu.gov.cz
Data source: CZSO survey
End of data collection: Last calendar day of the month
End of data processing: Import and export price indices: 40th calendar day following the end of reference month
Related publications: 7201-08 Import and Export Price Indices in the Czech Republic
Detailed (Internet: /produkty/export-and-import-price-indices-in-the-czech-republic-december-zn0n03jaf2 )
The data released are final.