Latvian annual inflation drops to 1% in October November

RIGA - The latest data of the Central Statistical Bureau show that in November 2023, compared to November 2022, the average level of consumer prices increased by 1 percent.

Compared to November 2022, in November 2023 the average level of consumer prices was mainly influenced by the rise in prices of food and non-alcoholic beverages (1 percentage point), alcoholic beverages and tobacco products (0.5 percentage points), health care (0.5 percentage points), as well as drop in prices of goods and services related to housing (1.8 percentage points) and goods and services related to transport (0.7 percentage points).

Over the year, prices within the group of food and non-alcoholic beverages increased by 3.7 percent. Price rise for bread (8.9 percent) and bakery products (3.1 percent) had the strongest upward influence on the average price level within the group. Prices of pork (10 percent), dried, salted or smoked meat (4.8 percent), meat preparations (6.3 percent) also went up. Prices increased for coffee (12.1 percent), fresh fruit (12 percent), fresh vegetables (7.8 percent), fruit and vegetable juices (19.3 percent), ice cream (14.9 percent), olive oil (31 percent), sweets (14.9 percent), soft drinks (12.5 percent), dried, other preserved or processed vegetables (13.2 percent), potatoes (8.7 percent), chocolate (5.2 percent), eggs (5.2 percent). In turn, fall was registered in prices of milk (17.4 percent), milk products (11.3 percent), butter (16.7 percent), cheese and curd (3.9 percent), poultry (5 percent), vegetable oil (10.8 percent).

The average level of alcoholic beverage and tobacco product prices rose by 7.5 percent. As prices of spirits, beer and wine went up, alcoholic beverages became more expensive (8.1 percent). Over the year average increase of 6.5 percent was observed in prices of tobacco products.

Average price level of goods and services related to housing fell by 9.1 percent. Over the year, the most significant drop in the prices was for heat energy (19.3 percent). Prices went down for solid fuels (26.5 percent), natural gas (27.7 percent), electricity (6.4 percent), sewage collection (8.9 percent). In turn, maintenance charges in multi-occupied buildings (6.2 percent), rentals for housing (9.1 percent), refuse collection (13.6 percent) became more expensive. Increase was recorded in services for the maintenance and repair of the dwelling, as well as in prices of materials for the maintenance and repair of the dwelling.

The average level of health care prices grew by 8 percent. Over the year, prices of pharmaceutical products, prices in medical specialist practice, dental services and services of medical analysis laboratories and x-ray centers went up.

Prices of goods and services related to transport reduced by 5.1 percent, which was mainly affected by the fall in prices of fuels for transport by 12 percent. Prices of diesel went down by 14.1 percent, of petrol – by 8 percent, but of auto gas – by 15.9 percent. Over the year, drop in prices was also registered for second-hand motor cars. In turn, increase was observed in prices of passenger transport by road, maintenance and repair of personal transport equipment, other services in respect of personal transport equipment and passenger transport by air.

Prices of goods and services related to recreation and culture rose by 4.8 percent, as prices of pet food, recreational and sporting services, television subscription fee, flowers, newspapers and magazines went up. Prices of personal computers and package holidays went down.

Within the miscellaneous goods and services group, prices increased by 7 percent, which was most significantly affected by the rise in prices of articles for personal hygiene and beauty products. Hairdressing salons and personal grooming establishment services, retirement home fee for elderly persons were more expensive as well.

Among other commodity groups, the most notable rise was registered in prices of garments, restaurant and café services, household cleaning and maintenance products, telecommunication services, canteen services, pre-primary education, footwear.

Compared to October 2023, in November 2023 the average level of consumer prices remained unchanged. Drop in prices of goods and services related to housing (0.3 percentage points), goods and services related to transport (0.2 percentage points), as well as rise in prices of food and non-alcoholic beverages (0.3 percentage points) and miscellaneous goods and services group (0.2 percentage points) contributed the most to the price level changes.

Over the month, prices of food and non-alcoholic beverages grew by 1 percent. Price rise of fresh vegetables (15.5 percent) and fresh fruit (2.6 percent) had the strongest influence on the average price level. As the promotions ended, prices of coffee (2.2 percent), bread (1.2 percent) (mainly wheat bread), dried, salted or smoked meat (1 percent), milk (2 percent) and ice cream (2.1 percent) increased. In turn, due to the discounts, prices of milk products (3.5 percent), bakery products (2 percent), pasta products (3.4 percent) and chocolate (1.5 percent) fell. Prices of potatoes (3.7 percent), cheese and curd (0.9 percent) and pork (0.8 percent) went down.

Average price level of goods and services related to housing fell by 1.6 percent. During the month the most significant price drop within the group was registered for heat energy (3.2 percent) and electricity (1.8 percent). Prices also went down for natural gas, maintenance charges in multi-occupied buildings, solid fuels and rentals for housing.

Prices of goods and services related to transport decreased by 1.6 percent, which was mainly affected by the fall in prices of fuels for transport by 3.5 percent. Prices of diesel went down by 3.6 percent, of petrol – by 3.8 percent, but of auto gas – by 0.9 percent. Prices of second-hand motor cars also went down. In turn, prices of passenger transport by air and spare parts and accessories for personal transport equipment went up.

Within the miscellaneous goods and services group prices increased by 4.5 percent. Mainly due to the end of sales campaigns, prices of articles for personal hygiene and beauty products went up. Retirement home fee for elderly persons became more expensive.

Among other commodity groups, the most notable fall was registered in prices of package holidays, hotel services, footwear, beer and spirits. Increase, in turn, was registered in prices of wine, household cleaning and maintenance products, pharmaceutical products, pet food and garments.