Prices and situation in consumer market in Azerbaijan (January-March 2014)

The Azerbaijani consumer market continues developing rapidly (9-10 percent) in 2014. The retail trade facilities, catering trade points are developing in the country both qualitatively and quantitatively.

According to the State Statistics Committee, in January-March 2014, the Azerbaijani trading networks sold consumer goods to the population at 5.083.7 billion manat, which is 9.2 percent more than in January-March 2013. Legal entities ensured 11.6 percent of trade turnover, individual entrepreneurs - 51.6 percent, fairs and markets - 36.7 percent.

The Azerbaijani retail trade facilities sold food worth 2.699.2 billion manat with an increase of 1.2 percent and non-food goods worth 2.384.5 billion manat with a growth of 19.9 percent.

During this period, every citizen of the country acquired consumer goods at 180.7 manat per month or by 17.6 manat more than in the same period of 2013.

Paid services worth 1.566.2 billion manat were rendered to the population during the period, or 7.0 percent more compared to January-March 2013. Legal entities ensured 59.0 percent of this growth and rendered the services worth 1.165.4 billion manat.

In January-March 2014, each citizen bought paid services worth 55.8 manat per month, or 3.2 manat more than in January-March 2013. Transportation, public utilities and communication services prevail in the structure of paid services. Besides improving the material condition, great using of paid services by the population is associated with the fact that the structure of rendered paid services is being improved. A network of companies is being developed in this sector.

Prices

According to the State Statistics Committee, in March 2014, the prices on consumer goods and tariffs on services increased by 0.3 percent compared to the previous month and by 2 percent in January-March compared to the same month of 2013.

Thus, inflation in Azerbaijan, which is one of the indices of macroeconomic stability, hit 2 percent in March 2014.

The food prices increased by 0.6 percent, tariffs for paid services and non-food goods remained unchanged in March.

The prices on buckwheat, bread, chicken, eggs, greens, beets, carrots, potatoes, and granulated sugar reduced, while the prices on rice, flour, fish, sausages, butter and vegetable oil, lemons, oranges, tangerines, bananas, apples, pears, quince, pomegranates, walnuts, chestnuts, cabbage, pumpkin, onion, garlic and salt increased during the month.

The tariffs for international passenger transport by railway decreased, while international air transport increased in March 2014.

Food prices increased by 2.2 percent, nonfood goods - 0.4 percent, tariffs for services - 3.4 percent during this period compared to January-March 2013.

In March, the base index of consumer prices, calculated except for the goods and services subject to seasonal changes (fruits and vegetables) and the prices of which are regulated by the state, increased by 0.2 percent compared to the previous month and by 1.5 percent for two months compared to January-March 2013.

The industrial producer price index decreased by 1.2 percent in March 2014 compared to the previous month, while the prices decreased by 1 percent compared to January-March 2013.

The prices decreased by 1.4 percent in the oil and gas production in March compared to the previous month, while they reduced by 3.1 percent compared to the same period of last year.

As of March, the Producer Price Index in manufacturing industry decreased by 0.3 percent. The prices in wood processing and wood product manufacturing increased by 0.2 percent, clothing prices by 0.1 percent, production of rubber and plastic goods remained unchanged.

Prices on leather goods and footwear, pharmaceutical products, electrical equipment remained at the same level.

Average market price and indices of basic food commodities in January-March 2014

Source: Azerbaijani State Statistics Committee