Dutch manufacturers put up the selling prices of their products by 0.9 percent in August compared with July this year. Prices were higher for exported goods as well as goods sold on the domestic market.
A main reason for the increase in selling prices were the price increases for oil products. If the oil industry is left out of account, manufacturers’ prices would have risen by 0.4 percent in August.
Intermediate consumption cost more
Manufacturers paid on average 4.1 percent more for raw materials and semi-manufactured products in August than in July. Those purchased in the Netherlands cost 5.7 percent more, while those imported from abroad were 2.6 percent more expensive. In addition to the effect of more expensive oil products, the substantial price increases for electricity also pushed prices up.
Heat and drought push up electricity prices
The extremely hot and dry summer pushed up electricity prices. The demand for electricity increased strongly while lower water levels and increasing water temperatures resulted in a smaller supply. On the Amsterdam Power Exchange (APX) prices rose from around 50 euro to nearly 2,000 euro per megawatt-hour on a number of days.
Producers’ prices compared with previous month
Prices higher than twelve months previously
August was the third month in a row in which producers’ prices rose. Consequently, selling prices in August were 0.5 percent higher than in August 2002. The prices of intermediate consumption were even as much as 3.5 percent higher than in August last year.
Producers’ prices compared with previous year