According to Statistics Canada, prices for products manufactured in Canada, as measured by the Industrial Product Price Index (IPPI), rose 2.0 percent in January, mainly as a result of higher prices for lumber and other wood products, as well as energy and petroleum products. Prices of raw materials purchased by manufacturers operating in Canada, as measured by the Raw Materials Price Index (RMPI), were up 5.7 percent, driven mainly by higher prices for crude energy products.
In January, the IPPI rose 2.0 percent, its strongest monthly increase since February 2015 (+2.0 percent). Of the 21 major product groups, 15 were up, 5 were down and 1 was unchanged.
Year over year, the IPPI increased 4.0 percent. Higher prices for lumber and other wood products (+61.6 percent) and primary non-ferrous metal products (+23.4 percent) were the principal causes of this gain.
The RMPI increased 5.7 percent in January, following growth of 3.5 percent in December. This was the fourth straight monthly increase and the strongest gain since August 2020 (+5.7 percent). All six major product groups were up in January. Prices for metal ores, concentrates and scrap (+2.1 percent) and animals and animal products (+1.8 percent) also rose compared with December.
Year over year, the RMPI was up 6.2 percent—its first increase since January 2020. This growth was led by higher prices for metal ores, concentrates and scrap (+25.8 percent).