Consumer price indices - inflation - July 2013

Year-on-year growth of consumer prices slowed down

09.08.2013
Code: r-7101-13
 




Consumer prices in July dropped by 0.2% compared with June. This decline came primarily from price decreases in 'food and non-alcoholic beverages'. The year-on-year growth of consumer prices decelerated to 1.4% in July from 1.6% in June.

The month-on-month decrease in consumer prices came particularly from the drop in prices of vegetables by 13.8%, of which prices of potatoes by 29.0%. Prices of fruit went down by 1.9%, poultry by 2.1%, eggs by 4.1%, mineral or spring waters by 3.5%. In 'clothing and footwear', prices of both clothing and footwear were lower (-2.3% and -2.9%, respectively). The price drop in 'housing, water, electricity, gas and other fuels' was primarily influenced by the reduction in prices of natural gas by 2.8%. In 'miscellaneous goods and services', prices of beauty products decreased (-2.5%).

A contrary effect on the consumer price level owed mainly to a growth of prices in 'recreation and culture', where seasonal prices of package holidays rose by 12.5%. In 'transport', prices of automotive fuel went up by 1.4%. Prices of tobacco products and prices of wine were higher (0.6% and 0.5%, respectively).

Prices of goods in total dropped (-0.8%), while prices of services rose (0.7%).

In terms of the year-on-year comparison, in July, the increase in consumer prices was 1.4%, i.e. 0.2 percentage points down compared with June. A deceleration of the price rise came particularly from prices in 'food and non-alcoholic beverages' and 'housing, water, electricity, gas and other fuels'. Prices of meat were higher by 4.4% (5.4% in June), edible oils by 2.5% (4.8% in June), other vegetables (cultivated for their roots or leaves) by 9.5% (21.3% in June). Prices of eggs were lower by 23.7% (21.9% in June), y-o-y. In 'housing, water, electricity, gas and other fuels', the price drop in natural gas deepened to -6.9% (-4.2% in June). In 'miscellaneous goods and services', the growth of prices of social protection slowed down to 2.9% in July (4.7% in June).

A decisive upward effect on the y-o-y consumer price level came from prices in 'food and non-alcoholic beverages'. The second highest upward effect (in spite of its reduction) owed to prices in 'housing, water, electricity, gas and other fuels' and to prices in 'alcoholic beverages, tobacco'. In food, prices of flour rose by 25.0%, milk by 10.0%, butter by 12.3%, fruit by 9.9%, vegetables by 29.7%. In 'housing, water, electricity, gas and other fuels', the net actual rentals went up by 2.1%, water supply by 6.6%, sewerage collection by 7.1%, prices of electricity by 3.3%, heat and hot water by 3.9%. In 'alcoholic beverages, tobacco', prices of beer increased by 4.4%, spirits by 4.2%, wine by 2.8%. In 'transport', prices of automotive fuel turned from a y-o-y drop (-0.8%) in June to a rise (1.8%) in July.

The reduction of the y-o-y price growth came from the decrease in prices in 'communication', where prices of telephone and telefax services were lower (-11.8%).

Prices of goods in total and prices of services increased (2.0% and 0.8%, respectively). The overall consumer price index excluding imputed rentals was 101.6%, year-on-year.

Inflation rate, i.e. the increase in the average consumer price index in the twelve months to July 2013 compared with the average CPI in the previous twelve months, stood at 2.2% in July.

According to preliminary data of Eurostat, the year-on-year increase in the average harmonized index of consumer prices (HICP) 1) in the EU27 member states was 1.7% in June, i.e. 0.1 percentage point up on May. Prices grew most in Romania (4.5%). On the other hand, a y-o-y price decrease occurred in Greece (-0.3%) in June. In Germany, the price rise accelerated to 1.9% in June (1.6% in May). In Slovakia, the price increase decelerated moderately to 1.7% in June (1.8% in May). According to preliminary calculations, the HICP in the Czech Republic in July 2013 dropped by 0.3%, month-on-month, and rose by 1.4% (1.6% in June), year-on-year. The MUICP (Monetary Union Index of Consumer Prices) flash estimate for the Eurozone in July 2013 was 1.6%, y-o-y, as Eurostat announced (more information on the Eurostat’s web pages: HICP).
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1) So far, imputed rentals have been excluded from the HICP.


Notes:
Responsible manager of the CZSO: Ji ri Mrazek, Department Director, email: jiri.mrazek@czso.cz
Contact: Pavla Sediva, phone (+420) 274052138, email: pavla.sediva@czso.cz
Method of data collection: Direct field survey of prices, centrally surveyed prices and reporting
End of data collection: 20th day of the reference month/ End of data processing: 3rd day of the month that follows the reference month
Related publications: 7101-13 Consumer Price Indices – Basic Breakdown (periodicity: monthly) and 7103-13 Consumer Price Indices – Detailed Breakdown (periodicity: annually)
Related documents available on the CZSO website: 710344-13 Consumer Price Indices – Detailed Breakdown (periodicity: monthly)
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Next News Release: 9 September 2013

Not edited for language.



  • aisc080913.doc

  • Annexes:
  • Table 1 Consumer prices (indices, inflation rate)
  • Table 2 Consumer prices (decomposition of increase – month-on-month, core inflation)
  • Table 3 Consumer prices (decomposition of increases – month-on-month, year-on-year)
  • Table 4 Consumer prices (social groups of households - indices, inflation rate)
  • Table 5 Consumer prices (analytical table, specific consumer price indices)
  • Graph 1 Consumer prices (year-on-year changes, changes on base year)
  • Graph 2 HICP – monthly data (2005 = 100)
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Published: 09.08.2013
The data are valid as of the release date of the publication.


Contact: Information Services Unit - Headquarters, tel.: +420 274 056 789, email: infoservis@czso.cz