Embargoed until 10:45am – 19 November 2008
New houses and machinery drive up capital goods prices
The Capital Goods Price Index (CGPI) rose 1.4 percent in the September 2008 quarter, Statistics New Zealand said today.
Higher construction costs for new houses and increases in prices for machinery were the main contributors to the rise.
All six asset groups in the CGPI rose in this quarter.
The most significant upward contribution came from the residential buildings index (up 1.4 percent) in the September
2008 quarter, reflecting higher costs for constructing new houses. In the year to the September 2008 quarter, the
residential buildings index rose 4.4 percent.
The plant, machinery and equipment index rose 1.1 percent and made the second most significant contribution to the CGPI
in this quarter. The main drivers for this rise were higher supplier prices for furniture, and increased prices for
agriculture and forestry equipment. In the year to the September 2008 quarter, the plant, machinery and equipment index
rose 3.1 percent.
On an annual basis, the CGPI rose 3.8 percent in the year to the September 2008 quarter. This followed rises of 2.3
percent and 4.0 percent in the years to the September 2007 and September 2006 quarters, respectively.
Geoff Bascand
Government Statistician
19 November 2008
ENDS
See also the Hot Off The Press information release Capital Goods Price Index: September 2008 quarter (PDF).