Export and import price indices - March 2006

In March, import prices increased by 0.5% month-on-month and export prices by 0.6%. Year-on-year, import prices were up by 3.2% and export prices down by 1.6%. The terms of trade figures reached 100.1% m-o-m and 95.3% y-o-y. The CZSO world price index of industrial raw materials and food increased in April by 5.6% m-o-m and by 32.2% y-o-y.
Month-on-month comparison:

- Imports: import prices increased by 0.5%, which was the first rise since October 2005. The biggest influence on the growth of the total m-o-m import price index was an increase in the prices of 'manufactured goods classified chiefly by material' (+1.5%, mainly non-ferrous metals). Among other sections that are important in terms of weights, the highest price increases were registered for 'mineral fuels, lubricants and related materials' (+1.1%, in particular gas, petroleum and petroleum products) and 'chemicals and related products' (+0.8%, especially medicinal products). The prices of 'machinery and transport equipment' increased by 0.1%. On the other hand, lower prices were observed particularly for 'food and live animals' (-0.9%, especially vegetables and fruit).

- Exports : the biggest influence on the growth of the total m-o-m export price index (+0.6%) was, like in import prices, an increase in the prices of 'manufactured goods classified chiefly by material' (+0.8%, mainly non-ferrous metals). The highest increases were recorded for the prices of 'chemicals and related products' (+1.7%, in particular fertilizers and plastics) and 'crude materials, inedible, except fuels' (+1.4%, especially metalliferous ores). Also the prices of 'machinery and transport equipment' were up (+0.5%). On the decrease were particularly the prices of 'mineral fuels, lubricants and related materials' (-1.1%, especially gas).

- Terms of trade reached a positive figure of 100.1% (+0.5 percentage points on February). Among observed sections important in terms of weights, higher terms of trade figures were reached mainly for 'food and live animals' and 'crude materials, inedible, except fuels' (both 101.1%). The terms of trade figure in the section 'machinery and transport equipment' rose from 99.2% in February to 100.4% in March. On the other hand, a negative terms of trade figure was in particular in 'mineral fuels, lubricants and related materials' (97.8%).

Year-on-year comparison:

- Imports: import prices increased by 3.2% (+2.9% in February) and were influenced most by a price growth in 'mineral fuels, lubricants and related materials' (+35.0%, mainly gas, petroleum and petroleum products). Also the prices of 'manufactured goods classified chiefly by material' grew (+1.3%, especially non-ferrous metals). Prices in other sections decreased – most the prices of 'miscellaneous manufactured articles' (-5.5%, in particular articles of apparel). The prices of 'machinery and transport equipment' dropped by 0.4% (mainly power-generating machinery and equipment).

- Exports: the biggest influence on the decrease of the total y-o-y export price index by 1.6% (-2.2% in February) was a fall in the prices of 'manufactured goods classified chiefly by material' (-4.8%, mainly iron, steel and manufactures of metals). The prices of 'machinery and transport equipment' decreased by 1.3% (in particular road vehicles). Among sections important in terms of weights, marked increases were recorded especially for the prices of 'crude materials, inedible, except fuels' (+5.5%, especially metalliferous ores) and 'mineral fuels, lubricants and related materials' (+4.3%, mainly gas and petroleum products).

- The terms of trade figure reached 95.3%, i.e. by 0.3 percentage points more than in February. The figure was high especially in the sections 'crude materials, inedible, except fuels' (110.4%) and 'miscellaneous manufactured articles' (105.6%); the lowest figure is (continually since June 2005) recorded for 'mineral fuels, lubricants and related materials' (77.3%). The terms of trade figure in ‘machinery and transport equipment’ amounted to 99.1% (98.8% in February).
Month-on-month comparison:

- The world prices of industrial raw materials and food covered by the index increased in total by 5.6% in April, which is the highest rise since January. The main reason for this marked growth was the increase of petroleum Brent prices (+11.6%, the highest growth since June 2005) and in particular the increase of metal prices (+12.4%, the most marked growth since January 2001). Also the prices of leather, rubber, food and wood were up. On the other hand, a slight decrease was registered for natural gas prices (-0.5%); the prices of textile raw materials decreased as well.

Year-on-year comparison:

- In April, the world prices were up by 32.2% in total, i.e. they speeded up their growth. The prices of petroleum and natural gas rose by 33.6% in total (+29.3% in March). However, the highest growth was observed for the prices of metals (+50.1%, the highest y-o-y rise since January 2001). Also the prices of textile raw materials, leather, rubber and food increased. Only the 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.

Analysis - Development of external trade price indices in the first quarter of 2006

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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: 7201-06 Import and Export Price Indices in the Czech Republic
7202-06 CZSO World Price Indices of Industrial Raw Materials and Food
Detailed on (Internet: /katalog-produktu )
The data released are final.