Consumer prices steady

BELGRADE - Consumer prices dropped by 0.2 percent in October this year as the trend of steady prices continued after an overall 2.2-percent increase in the first ten months of 2014, an analysis by the Serbian Ministry of Trade shows.

Prices remained stable in the first ten months of this year, except in January, April and September, when they grew by 1.4 percent, 0.6 percent and 0.7 percent, respectively, due to an increase of the lower VAT rate in January, and higher food prices in April and September.

The year-on-year inflation rate in the period between October 2013 and October 2014 amounted to 1.8 percent, the lowest in the seven-year history of the consumer price index survey, conducted by the national statistical office.

The overall price drop is a result of a decline in prices of food and non-alcoholic beverages, as well as in prices of fruits, meat, edible oil and fats, sugar and other food products.

A price drop - albeit a much smaller one - was also registered with regards to furniture, household appliances, running maintenance, phone devices and alcoholic beverages.

The October price drop was mostly accounted for by prices of food and non-alcoholic beverages, which declined by 1.4 percent and also account for much of the consumer price index (35 percent).

Prices of furniture, household appliances, running maintenance and communications had a much smaller impact - dropping by 0.4 percent - as did prices of alcoholic beverages and tobacco, where a 0.1 percent decline was registered.

Around 30.7 percent of products and services registered a price increase in October, with increases in the 1.1 percent to 12.1 percent range registered in prices of milk, cheese and eggs (1.3 percent)...