Riga, Latvia – According to data from the Central Statistical Bureau, the level of producer prices in Latvian industry experienced a significant growth of 11.3% in April 2023 compared to the same period last year. The prices of products sold on the domestic market saw a substantial increase of 22.0%, while the prices of exported products rose by 1.0%. However, the prices of products exported to non-euro area countries experienced a slight decrease of 0.2%.
The rise in producer prices was primarily driven by increases in electricity, gas, steam, and air conditioning supply, as well as the manufacture of food products and other non-metallic mineral products. On the other hand, the manufacturing of wood and wood products (excluding furniture) and the manufacture of chemicals and chemical products had a downward impact on the changes in producer prices.
In April 2023, there was a slight decrease in the level of producer prices compared to March 2023, with a decline of 1.4%. The prices of products sold on the domestic market fell by 1.9%, and the prices of exported products decreased by 1.0%. Specifically, the prices of products exported to non-euro area countries saw a larger decline of 1.6%, while the prices of products exported to euro area countries reduced by 0.2%.
The manufacture of wood and wood products (excluding furniture), as well as the trade and manufacture of electricity, heat, and gas supply, contributed to the decrease in producer prices during this period.
The data highlights the fluctuations in the Latvian industry’s producer prices and provides insights into the economic landscape. It serves as a valuable resource for businesses, policymakers, and analysts to understand and analyze market trends.
The Central Statistical Bureau gathers information from over 600 enterprises to calculate the producer price index in the industry. The index takes into account tariffs on selected services and enterprises approved by the Public Utilities Commission. Approximately 2.5 thousand prices are used in the calculations, including prices of products and industrial services sold both on the domestic market and export markets.
The Central Statistical Bureau is set to release information on producer price changes in the industry for May 2023 on June 21.
This data provides an important overview of the economic situation in Latvia and allows stakeholders to make informed decisions and projections based on the fluctuations in producer prices across various sectors.