Factory gate prices in the Dutch manufacturing industry were 1.4 percent higher in October than twelve months previously. For the fifth month in a row, the price increase is smaller than in the preceding month. The increase in October is the smallest in the last two and a half years.
Metal prices have been rising quickly in the last few months. Because of this, prices of basic metal products were almost 22 percent higher in October 2006 compared with October 2005. By comparison, in January prices of basic metal products were only 2 percent up on twelve months previously. In metal product manufacturing and the wood industry, prices also rose by more than average in October. In these sectors of industry factory gate prices were more than 5 percent higher than in October 2005.
On the other hand, prices in the petrochemical industry dropped by almost 10 percent in October compared with the same month last year. The increase in factory gate prices has been tempered by lower oil prices in the last few months. If the petrochemical industry is left out of account, prices would have been 3.3 percent higher than last year.
Compared with September 2006, factory gate prices were 0.3 percent lower in October. The decrease is completely accounted for by a further drop in crude oil prices. Compared with September, crude oil was over 6 percent cheaper in October. Without the curbing influence of price developments in the petrochemical industry, factory gate prices rose by 0.3 percent in October compared with September.
Factory gate prices