Manufacturers’ prices fall in January

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The price of goods bought and sold by UK manufacturers continued to fall in the year to January. This month shows the smallest decreases in both the output and input prices for the last 13 months, according to new figures from the Office for National Staistics.

Factory gate prices (output prices) for goods produced by UK manufacturers fell 1.0% in the year to January, compared with a fall of 1.4% in the year to December 2015.

Core factory gate prices, which exclude the more volatile food, beverage, tobacco and petroleum products, showed no movement in the year to January 2016, compared with an increase of 0.1% in the year to December 2015.

The overall price of materials and fuels bought by UK manufacturers for processing (total input prices) fell 7.6% in the year to January 2016, compared with a fall of 10.4% in the year to December 2015.

Core input prices, which exclude purchases from the more volatile food, beverage, tobacco and petroleum industries, fell 4.7% in the year to January 2016, compared with a fall of 6.7% in the year to December 2015.