Export and import price indices - January 2006

In January, import prices decreased by -0.2% month-on-month and export prices, on the contrary, increased by +0.1%. Year-on-year, import prices increased by +2.7%, while export prices decreased by -2.0%. Terms of trade reached values 100.3% m-o-m and 95.4% y-o-y. The CZSO world price index of raw materials and food decreased in February by –1.3% m-o-m and increased by +36.1% y-o-y.
Month-on-month comparison:

- Imports: import prices decreased by -0.2% and were influenced most by a decline in prices of 'machinery and transport equipment' by –0.6%. Prices of 'miscellaneous manufactured articles' decreased more markedly by -1.2%. Among observed important sections in terms of weight, only the prices of 'mineral fuels, lubricants and related materials' increased by +1.1% (especially electricity, petroleum and petroleum products) and 'manufactured goods classified chiefly by material' by +0.8% (mainly non-ferrous metals).

- Exports: the biggest influence on the growth of the total m-o-m export price index by +0.1% was due to an increase in prices of 'mineral fuels, lubricants and related materials' by +3.3% (especially electricity, gas and petroleum products). Prices of 'crude materials, inedible, except fuels' increased more markedly by +1.5% as well (metalliferous ores and metal scrap in particular). Mainly prices of 'food and live animals' and 'chemicals and related products' decreased by -0.9% both. Prices of 'machinery and transport equipment' remained unchanged on average.

- Terms of trade reached for the first time since December 2004 a value exceeding 100%. They were 100.3% in January 2006, i.e. by 0.9 percentage point more than in December. The highest terms of trade were reported for 'crude materials, inedible, except fuels' 102.3%; they were low mainly for 'manufactured goods classified chiefly by material' 99.1%. Terms of trade for 'machinery and transport equipment' amounted to 100.6% (99.9% in December).

Year-on-year comparison:

- Import prices increased by +2.7% (+2.9% in December) and were influenced most by price growth in 'mineral fuels, lubricants and related materials' by +41.3% (mainly gas, petroleum and petroleum products). Prices of other sections decreased, the most 'miscellaneous manufactured articles' prices by -8.4%. Prices of 'machinery and transport equipment' dropped by -1.3% (power-generating machinery and equipment in particular).

- The biggest influence on the decrease of the total y-o-y export price index by -2.0% (-2.6% in December) was due to a fall in the prices of 'manufactured goods classified chiefly by material' by -6.1% (mainly iron, steel and leather). Prices of 'machinery and transport equipment' decreased by -1.3% (‘office machines and automatic data-processing machines’ in particular). Like in imports, among important sections in terms of weight especially the prices of 'mineral fuels, lubricants and related materials' increased more markedly by +10.6% (mainly gas and petroleum products).

- Terms of trade reached 95.4%, which was by 0.7 percentage points more than in December and thus they haven’t drop for the first time since August 2005. The high terms of trade figure was especially in section 'miscellaneous manufactured articles' 108.0%; the lowest figure was (already since June 2005) for 'mineral fuels, lubricants and related materials' 78.3%. Terms of trade in ‘machinery and transport equipment’ amounted to 100.0% (99.4% in December).
Month-on-month comparison:

- The world prices of raw materials and food covered by the index dropped in total by -1.3% in February. The main reason was a decrease in petroleum and natural gas prices by –2.1% (of which Brent petroleum prices decreased by -3.9% and natural gas by –0.1%). Prices of wood decreased, too. Prices of metals continued to grow and increased by +4.1%. Prices of all of the other observed sections rose as well.

Year-on-year comparison:

- In February, the world prices were up by +36.1% in total and thus slowed down their growth moderately. Prices of Brent petroleum and natural gas rose by +38.7% in total (+44.7% in January). Prices of metals speeded up their growth in total from +33.0% in January to +34.3% in February. Only prices of wood dropped y-o-y.

1) The world prices follow current prices in original currencies in commodity markets and indicate in advance the character of the future development of the Czech import and export prices of industrial raw materials and food.

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Note
Contact: Jiří Choun, tel. (+420) 274 052 196, e-mail: jiri.choun@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
CZSO world price indices: 10th calendar day following the end of reference month
Related publications: 7201-05 Import and Export Price Indices in the Czech Republic
Detailed on (Internet: http://www.czso.cz/eng/edicniplan.nsf/p/7201-06 )
7202-05 CZSO World Price Indices of Industrial Raw Materials and Food
Detailed on (Internet: /katalog-produktu )
The data released are final.