News Release - Producer price indices - June

In June 2009, compared with the previous month, agricultural producer prices grew by 4.6% unlike market services prices, which fell by 0.8%. Industrial producer and construction work prices remained unchanged.
In comparison to June 2008, agricultural and industrial producer prices were lower by 27.9% and 4.4%, respectively. Construction work prices increased by 1.2% and market services prices by 1.5%.




Monthly changes

Agricultural producer prices increased by 4.6% in total, which is the biggest m-o-m price growth since November 2007. Prices of crop products grew by 8.6% due to a price growth of hops (+40.6%) and potatoes (+56.3%). On the increase were prices of fruit (+12.9%) and oil plants (+7.9%). Decreases were registered for prices of vegetables (-7.3%) and cereals (-0.4%). Prices of animal products increased by 0.3%; prices of cattle for slaughter, poultry and pigs for slaughter increased by 0.3%, 0.5% and 2.7%, respectively. The prices of milk fell by 1.1% and eggs by 1.8%.

Industrial producer prices remained stable in total m-o-m (-0.4% in May). Prices went down primarily in ‘basic metals, fabricated metal products’ (-2.7%), ‘food products, beverages and tobacco’ (-0.5%) and ‘transport equipment’ (-0.4%). Prices increased particularly in ‘coke, refined petroleum products’ (+9.7%), ‘chemicals, chemical products’ (+1.4%) and in ‘rubber and plastic products’ (+0.4%).

Construction work prices remained unchanged; construction material input prices fell by 0.5%.

Market services prices in the business sphere fell by 0.8%. Prices decreased especially in advertising and market research services (-6.4%).


Annual changes

Agricultural producer prices were down by 27.9% (-31.4% in May 2009). Prices of crop products fell by 35.7%, mainly due to price decreases in cereals (-47.7%) and oil plants (-37.8%). On the decrease were prices of fruit (-26.4%). The prices of vegetables were higher by 1.8%. Prices of animal products dropped by 16.0%. Decreases were registered for prices of milk (-30.9%) and poultry (-10.9%). The prices of eggs (2.4%) and cattle for slaughter (+0.9%) grew.

Industrial producer prices were down by 4.4% (-3.8% in May). This is the biggest annual fall from the beginning of the observation (year 1991). Prices decreased in ‘coke, refined petroleum products’ by 36.7% (-39.1% in May), ‘basic metals, fabricated metal products’ by 13.9% (-9.4% in May) and in ‘food products, beverages and tobacco’ by 4.3% (-3.5% in May). Prices increased primarily in ‘electricity, gas, steam and air conditioning’ (+11.0%), ‘furniture, other manufactured products’ (+3.9%) and ‘transport equipment’ (+2.3%).
Among the main industrial groupings, prices of ‘intermediate goods’ recorded the biggest decrease (-8.7%), while the biggest increase was reported for ‘durable consumer goods’ (+1.8%).

Construction work prices increased by 1.2% (+1.5% in May). This is the lowest price growth since 1995 when the survey started. Construction material input prices were down by 5.5% (-4.6% in May).

Market services prices in the business sphere rose in total by 1.5% (+1.8% in May), reflecting the price growth in advertising and market research services (+8.4%), computer programming, consultancy (+7.0%), and office administrative and other support services (+6.1%). In contrast, prices in telecommunications and freight transport dropped by 2.3% and 5.5%, respectively.


Industrial producer prices in the EU – May 2009 ^*

According to the Eurostat News release, industrial producer prices in the EU27 were down 0.4% in May (-1.0% in April, month-on-month. Among the member states, for which data are available, the biggest decreases were recorded in Slovakia (-1.2%), Slovenia and Sweden (-0.7% both). The biggest price growth was reported for Greece (+1.0%), the Netherlands (+0.6%), Portugal and Romania (+0.4% both). Prices in Germany remained unchanged.

EU27 producer prices were down by 5.7% in May (-3.9% in April), year-on-year. Prices decreased most in the Netherlands (-11.3%%), Greece (-9.4%) and Denmark (-8.8%). Prices went down in Germany (-3.3%) and Slovakia (-2.6%). Price increases were recorded only in Romania (+2.5%), Hungary (+1.8%) and Sweden (+0.1%).

^* Preliminary data


As from January 2009, the industrial producer price index and the market services price index are compiled, calculated and disseminated in accordance with the classifications CZ-NACE Rev. 2 and CZ-CPA 2008. In comparison to CZ-CPA 2002, the most important changes concern industry (Sections B, C and D). The changes apply to all breakdown levels and the substantial changes at the level of subsections are set out in Table 4. The price indices are recalculated back to 1991; the market services price indices back to 1994.
Exhaustive information on the new classification is available on the website of the Czech Statistical Office at /classifications.



Analysis - Producer price indices in the second quarter of 2009

---

Notes
Contact: Miloslav Beranek, phone (+420) 274 052 665, e-mail: miloslav.beranek@csu.gov.cz
Hana Sykorova, phone (+420) 274 054 101, e-mail: hana.sykorova@csu.gov.cz
Source of data: CZSO survey
End of data collection / end of data processing:
Agricultural producer price indices: 24th calendar day of reference month / 8th calendar day of the following month
Industrial producer price indices: 20th calendar day of reference month / 7th calendar day of the following month
Construction work price indices: last calendar day of reference month / 5th working day of the following month
Market services price indices: 15th calendar day of reference month / 7th calendar day of the following month
· Except for the construction work price indices, the data are finalised. Construction work price indices are updated using the finished quarterly survey and the finalised data are released on the 45th calendar day of the following quarter.
Related publications: 7001-09 Price Indices of Construction Work, Types of Constructions and Construction Production Costs
7003-09 Producer Price Indices – Basic Information
7004-09 Industrial Producer Price Indices
7005-09 Agricultural Producer Price Indices
7008-09 Market Services Price Indices in the Business Sphere
( http://www.czso.cz/csu/2009edicniplan.nsf/engs/2009-7 )