Over the year level of producer prices in industry fell by 11.3 %

Data of the Central Statistical Bureau of Latvia show that in December 2023, compared to December 2022, level of producer prices in Latvian industry reduced by 11.3 %. The level of prices of products sold on the domestic market decreased by 17.2 %, and prices of exported products – by 4.8 %. Prices of products exported to euro area countries decreased by 6.1 % and of products exported to non-euro area countries by 3.7 %.

Trade and manufacture of electricity, heat and gas supply; manufacture of wood and of products of wood and cork (except furniture), as well as manufacture of chemicals and chemical products had downward impact on the producer prices.

In December 2023, compared to November 2023, the level of producer prices in Latvian industry fell by 0.8 %. The level of prices of products sold on the domestic market decreased by 1.0 %, and prices of exported products – by 0.5 %. Producer prices of products exported to euro area countries reduced by 0.4 % and prices of products exported to non-euro area countries – by 0.6 %.

Price drop in trade and manufacture of electricity, gas supply, as well as manufacture of computer, electronic and optical products had downward impact on the overall level of producer prices during the month. Price rise of heat supply, as well as manufacture of selected food products had upward impact on the producer price changes.

Producer price changes in December 2023

(as per cent)

In 2023, the average 12-month level of producer prices in Latvian industry increased by 1.1 %, compared to the average 12-month level of 2022. Prices of products sold on the domestic market increased by 2.3 %, while prices of exported products reduced by 0.8 %. Prices of products exported to euro area countries fell by 0.7 %, but those of products exported to non-euro area countries – by 1.0 %.

The price rise in manufacture of selected food products had the largest impact on the average 12-month level of producer prices. Manufacture of wood and of products of wood and cork (except furniture), as well as manufacture of chemicals and chemical products had downward impact on the producer price changes.

Information on producer price changes in industry in January 2024 will be published on February 21.

Methodological information

Producer price index in industry is an indicator characterizing industrial production price fluctuations over a set period.

The contribution of a given economic activity to the overall industrial producer price index (PPI) is assessed by calculating an impact. Economic activities having insignificant price changes but taking large share of the index can influence the overall PPI more than the products having little share but major price changes.

Information on producer prices in industry was provided by more than 600 enterprises. Producer price index in industry is calculated by using also tariffs on selected services and enterprises approved by the Public Utilities Commission. About 2.5 thousand prices were used in calculations of the index, of which about 1.4 thousand prices of products and industrial services sold on the domestic market and 1.1 thousand prices of products and industrial services sold on exports markets.

More information on producer price index in industry is available in the official statistics portal section Reference metadata.

Media requests:
Communication Section
E-mail: media@csp.gov.lv
Phone: +371 27880666

More information on data:
Rita Brice
Producer Price Indices Section
E-mail: Rita.Brice@csp.gov.lv
Phone: +371 67366862