Canada's raw materials prices jump 7.6% in May

By Ovunc Kutlu

ISTANBUL (AA) - Prices of raw materials purchased by manufacturers operating in Canada, measured by the Raw Materials Price Index (RMPI), jumped 7.6% in May, compared to the same month of last year, according to official figures released Friday.

"Prices for metal ores, concentrates and scrap led the increase of the RMPI excluding energy, rising 4.5% from April to May," Statistics Canada said in a statement.

While prices of crop products increased 3% in May, rising for the third straight month, higher prices for wheat and grains, which rose 10.7% and 3.1% respectively, strongly contributed to the increase in RMPI, said the agency.

"Cold weather in Russia and strong rainstorms in Northern Europe have reduced the expected global production of wheat for this crop year," the statement said.

However, RMPI declined 1% in May, compared to the previous month, according to the agency. This marked the first decline in the index after posting four consecutive monthly increases.

"Prices for crude energy products declined 6.4% in May, the first monthly decrease since December 2023," said the statement.

The annual RMPI figure for April, meanwhile, was revised down to a gain of 2.9%, from an increase of 3.1%.

The monthly figure for April, in addition, also saw a downward revision to a rise of 5.3%, from a gain of 5.5% when it marked the largest month-on-month increase since March 2022.