Price Index On The Rise

From August to September, the Consumer Price Index (CPI) rose by 0.1%. The increase in women's clothing prices, tuition fees, as well as in prices for fuel oil and men's clothing was moderated by lower prices for gasoline, automotive vehicle purchases and fresh vegetables.

The new fall-winter clothing collections were introduced in the stores, pushing up the index for women's (+6.2%) and for men's (+2.2%) clothing.

Tuition fees were collected in September for the 2004/05 school year. On average, students experienced a 4.2% increase, less than the 8.1% rise registered in September 2003. The tuition fee index for a province takes into account that some residents of one province are studying in institutions in another province. Advances ranged from 0.6% for residents of Quebec and 13.0% for those of British Columbia.

Canadians paid 5.6% more for fuel oil in September 2004. Concerns over the world supply capacity caused by factors such as confrontations in Nigeria and the strike in Norway had an effect on fuel oil prices.

From August to September 2004, gasoline prices continued their downward trend for a fourth consecutive month, falling 1.2%.

Automotive vehicle prices fell 0.7% on average in September. Similar declines occurred in all regions of Canada. At this time of year, manufacturers increase incentive programs to help reduce inventories before the new models arrive.

Consumers still had access to Canadian vegetables and enjoyed a 5.8% decrease in fresh vegetable prices in September 2004. Lower prices for "other fresh vegetables" and potatoes were a factor in this decrease but were offset to some extent by higher prices for lettuce and tomatoes.

In September 2004, Canadian consumers paid 1.8% more than in September 2003 for the goods and services included in the Consumer Price Index (CPI) basket, following a 1.9% increase in August 2004. The 12-month variation in the All-items index excluding energy declined slightly from 1.5% in August to 1.4% in September.