Decline in Canadian clothing & footwear price in July

20 Aug '12

2 min read

Statistics Canada reported that consumer prices rose 1.3% in the 12 months to July, following a 1.5% gain in June. Higher prices for the purchase of passenger vehicles, food purchased from restaurants, meat and electricity were major factors in the increase of the July Consumer Price Index (CPI).

Consumer prices rose for every major component in the 12 months to July, with the exception of clothing and footwear.

Prices for transportation rose 1.1% on a year-over-year basis in July after increasing 1.7% in June. The cost for the purchase of passenger vehicles increased 2.3% in July, following a 3.9% rise the previous month.

The only major component which declined in the 12 months to July was clothing and footwear (-0.7%), led by price declines for women's clothing.

Energy prices fell 1.2% in the 12 months to July after declining 0.8% in June.

Consumer prices rose at a slower rate in eight provinces on a year-over-year basis in July compared with June. Prices in Ontario grew at the slowest pace of any province, while the Quebec CPI recorded the largest increase.

The Ontario CPI rose 0.7% year over year in July, the smallest increase in the province since October 2009.

Consumer prices in Quebec increased 1.9% in the 12 months to July after rising 2.0% in June.

In Manitoba, consumer prices rose 1.8% in July after increasing 1.4% in June. This faster increase was mainly the result of larger price gains for gasoline, which rose 5.2% in July, following a 0.7% increase in June.

On a seasonally adjusted monthly basis, the CPI declined 0.1% in July, after decreasing 0.2% in June. This marked the third consecutive monthly decline in the seasonally adjusted CPI.

The seasonally adjusted index for transportation fell 0.6% in July, following a 1.1% decline in June. The clothing and footwear index declined 0.9% after falling 0.1% the previous month.

Statistics Canada

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