Source:Insee

24 FEB. 2011

CONSUMER PRICES fell -0.1% in Metropole in January and rose +0.7% in one year for the second consecutive month. Including the French Overseas Departments, (DOM TOM) consumer prices fell -0.2% last month and grew +1.8% annually.

In January, and month-on-month, food prices declined -0.1% as fresh products prices dipped -1.9%. Manufactured products prices decreased -1.5% due to the Winter sales five weeks period as clothing and footwear -7.9% price cut pushed down prices mechanically. Health products prices edged down -0.1% and other manufactured products -0.5%.

Energy prices soared +3.7% due to crude oil products +4.8% spike, a direct result of Brent prices +5.1% gain to USD 96.4 and +4% to € 72.2, the index steepest increases as in previous months.        

Services -0.1% price cut reflected transport and communication -0.6% price index decline as travelers combined fares fell -5.3% and other services -0.2%. That component prices nevertheless included health services +0.5% tag increase. Rent, water and garbage removal prices stayed nearly unchanged or +0.1%.

In one year, the overall index steepest price increases were recorded by energy +13.7% and oil products +17%. Brent crude oil prices per barrel on the same period skyrocketed +26.5% expressed in currency and +35.2% in Euro.

Services accounted for the index second highest price increase, +1.3% due to rent and associated services +1.5% rise: residential gas prices soared +14.4%, electricity +6.4% and liquid combustibles +23.9%. Health services prices rose +1%, other services +1.9% while transport and communication -1.7% price cut offset a stronger  inflationary trend. Photo and optical equipment prices dipped -17.8%.

Food prices stayed unchanged thanks to vegetables -2.9% price decline as fish and seafood products prices climbed +1.5%. Coffee, tea and cocoa prices rose +0.7%. Manufactured products prices edged up +0.2% as health products prices fell -1.8% while clothing and footwear prices grew +2.4%.