As of: 08/27/2021 10:39 a.m.
Due to higher prices for oil, gas and other energy products, German imports rose more expensive in July than they have been in 40 years. This also has consequences for consumers.
In July, import prices rose by 15.0 percent compared to the same month last year. The last time there was a higher increase was in September 1981 during the second oil crisis, announced the Federal Statistical Office. At that time the increase was 17.4 percent.
Economists are surprised at the strength of the increase. They had expected an increase of 13.6 percent. In June prices rose by 12.9 percent. Compared to the previous month, import prices rose by 2.2 percent in July.
Experts expect that this development will resonate with consumers and that companies will pass on the increased prices. At 3.8 percent, the inflation rate is currently at its highest level since 1993. Economists expect inflation to move in the direction of five percent in the coming months. For consumers, rising prices mean a loss of purchasing power.
Energy is getting more and more expensive
The strong increase is mainly due to the development of energy prices: imports were 89.6 percent more expensive than in July 2020. “This increase is due to the extremely low price level in the same month”, the statisticians explained this so-called base effect.
At that time, demand had reached its low point due to the Corona recession – with a strong supply overhang at the same time. Natural gas rose particularly sharply by 170.5 percent, and crude oil by 68.9 percent. Excluding energy, import prices rose 8.9 percent in July.
Iron ores, with plus 108.7 percent and wood, with plus 57.4 percent, also became more expensive when imported. The prices for agricultural goods were 10.3 percent higher than in July 2020.