Higher food prices force up inflation

The consumer price index calculated by Statistics Netherlands shows that Dutch inflation was 1.6 percent in October 2007, i.e. 0.3 percentage points up on September. The increase is almost entirely attributable to higher food prices. According to the Eurostat estimate, inflation in the eurozone was 2.6 percent in October, well above the Dutch inflation rate.

Food and fuel prices up

Food prices forced up inflation by nearly 0.2 percentage points. Prices of bread, dairy products and fresh vegetables were 6 to 7 percent higher than one year previously.

Higher fuel prices contributed 0.1 percentage points to the inflation increase. Fuel prices were on average 9.6 percent up on one year ago.

Dutch inflation rate below the eurozone average

Dutch inflation according to the European harmonised method (HICP) also rose to 1.6 percent in October, as against 1.3 percent in September. Eurostat estimates that the inflation rate in the eurozone will be 2.6 percent in October, 0.5 percentage points higher than in September, so the Dutch rate over October is 1.0 percentage points below the eurozone average.