The introduction of the use of a multilateral method in calculating a small number of indexes from December quarter 2024. An update of changes is provided in this release under Changes in this issue.
International Trade Price Indexes, Australia
Contains indexes measuring changes in prices of imports of merchandise landed in Australia and exports of merchandise shipped from Australia
Key statistics
- Export price index rose 3.6% this quarter and fell 8.6% through the year.
- Import price index rose 0.2% this quarter and fell 1.9% through the year.
Export price index
The main contributors to the rise were:
- Metalliferous ores and metal scrap (+7.0%), driven by a recovery in iron ore prices early in the quarter following the announcement of economic stimulus measures. Additionally, demand increased compared to September quarter as Chinese steel mills stockpiled iron-ore, and
- Gas, natural and manufactured (+5.3%), as higher demand for LNG in North Asia and Europe drove up global LNG spot prices. Adding to increases in spot prices, was the impending closure of the Russian gas pipeline through Ukraine. This led to greater competition for LNG cargoes between Europe and Asia, and
- Gold, non-monetary (+9.7%), the price of gold hit an all-time high in October, due to escalating demand for safe haven assets by investors amidst ongoing economic uncertainty. Continued purchasing of gold by central banks and global monetary easing also sustained high demand for gold during the quarter.
The main offsetting contributors were:
Coal, coke and briquettes (-3.3%), with sharp metallurgical coal price falls at the beginning of the quarter due to the weak Chinese property sector curtailing steel demand, combined with strong global production. The price fall was partially offset by strong demand for thermal coal, as China stockpiled coal for the winter months, in part to lower hydropower generation this quarter.
Export Price Index, all groups, quarterly movement (%)
Through the year, the Export Price Index fell 8.6%. The main contributors were:
- Coal, coke and briquettes (-23.7%), and
- Metalliferous ores and metal scrap (-12.4%).
The main offsetting annual contributors were :
- Gold, non-monetary (+32.9%).
Import price index
The main contributors to the rise were:
- Gold, non-monetary (+10.3%), the price of gold hit an all-time high in October, due to escalating demand for safe haven assets by investors amidst ongoing economic uncertainty. Continued purchasing of gold by central banks and global monetary easing also sustained high demand for gold during the quarter and
- Road vehicles (+1.2%) prices rose as annual price reviews resulted in certain models being imported in at higher prices. The depreciation in the AUD has further contributed to the overall price rise.
The main offsetting contributors were:
- Petroleum, petroleum products and related products (-5.7%) prices decreased as non-OPEC+ production rose and global demand weakened. A fall in demand was driven by global low economic growth, and
- Telecommunications equipment (-5.5%), driven by quality improvements in new model phones more than offsetting the slight price increase for these newer models.
Import Price Index, all groups, quarterly movement (%)
Through the year the Import Price Index fell 1.9%. The main contributor was:
- Petroleum, petroleum products and related products (-17.7%).
The main offsetting annual contributors were :
- Road vehicles (+1.7%), and
- Gold, non-monetary (+34.2%).
Data downloads
Time series spreadsheets
Tables 1, 3 and 12. Import price index by SITC, index numbers and percentage changes
Tables 4, 5 and 6. Import price index by balance of payments broad economic categories, index numbers
Tables 7 and 9. Export price index by SITC, index numbers and percentage changes
Tables 10 and 11. Export price index by balance of payments classification of exports, index numbers
Table 13. Import price index by selected HTISC section, index numbers
Tables 14 and 15. Import price index by selected ANZSIC division and subdivision, index numbers
Data cubes
Table 2 Import price index, SITC contribution to all group index
Table 8 Export price index, SITC contribution to all group index
Table 17 Export price index, AHECC and ANZSIC contribution to all groups index
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Use of price indexes in contracts
Price indexes published by the Australian Bureau of Statistics (ABS) provide summary measures of the movements in various categories of prices over time. They are published primarily for use in Government economic analysis. Price indexes are also often used in contracts by businesses and government to adjust payments and/or charges to take account of changes in categories of prices (Indexation Clauses).
Use of Price Indexes in Contracts sets out a range of issues that should be taken into account by parties considering including an Indexation Clause in a contract using an ABS published price index.
Changes in this issue
From December quarter 2024 a new method for calculating a small number of indexes has been introduced. The new method, known as the multilateral index method, utilises administrative trade data sourced from the Department of Home Affairs, Customs declarations. For selected indexes, this administrative data will replace survey data.
A benefit of utilising multilateral methods is that it captures prices for a broader range of products and a greater proportion of Australia’s trade than is possible via current sampling methods. Multilateral indexes also incorporate transactions across all three months of the quarter, capturing volatility, and improving the quality of the indexes while also reducing the burden on businesses that provide data for the survey.
For this release, the indexes in the table below were calculated using a mix of survey data and administrative data.
Export Price Index | Import Price Index |
---|---|
00 Live animals | 03 Fish, crustaceans, molluscs |
04 Cereals & cereal preparations | |
07 Coffee, tea, cocoa, spices | |
57 Plastics in primary forms |
For more information on the multilateral index method, please refer to the methodology section.
Changes in future issues
Greater utilisation of the multilateral method in calculating ITPIs is currently being explored. Noting, there will always be a need to collect survey data as there are some cases were the product or administrative data is not suitable for use in the International Trade Price Indexes. These include traded goods with no quantity information available in the administrative source (so a unit value can not be calculated) and goods that are too heterogeneous within the classification levels released.