This is the unedited press release from Statistisches Bundesamt Deutschland
WIESBADEN As reported by the Federal Statistical Office (Destatis), the consumer price index for Germany rose 1.4% in November 2008 on November 2007. Hence, price increase slowed down for the fourth month in a row (October: +2.4%; September: +2.9%; August: +3.1%); in November 2008, the year-on-year rate of price increase was below the two-percent threshold for the first time since June 2007. Compared with October 2008, the index was down by 0.5%. The estimate for November 2008 was thus confirmed.
The strong downward trend of the inflation rate in November 2008 is characterised mainly by the price decreases for mineral oil products especially for motor fuels which are caused in particular by declining world market prices of crude oil. In addition, a statistical basis-related effect has a downward impact on the inflation rate: Following sharp price rises for energy and food, unusually high prices were observed in November 2007, which are now included as comparative values in the calculation of the current year-on-year rate of price increase.
In November 2008, energy prices rose an average 1.4% on November 2007. Above-average price increases were again recorded for gas (+22.4%), charges for central heating and remote heat (+15.7%) as well as electricity (+6.1%). However, liquid fuel prices were down on a year earlier by 2.6% and motor fuel prices by 13.1% (including Diesel fuel: −8.5% and supergrade petrol: −14.6%). Not considering mineral oil products, the inflation rate in November 2008 would have been markedly higher (2.0%).
Food prices in November 2008 were an average 2.1% above previous years level. Price rises were recorded in particular for confectionery (+7.0%; including chocolate slabs: +18.8% and honey: +11.3%). Prices were up also for bread and cereals (+5.8%; including pasta: +20.7%, biscuits: +12.5% and bakery mixes: +9.5%) as well as for meat and meat products (+5.1%). However, marked year-on-year price decreases were observed for some dairy products (curd: 16.8%; cream: 15.2% and UHT milk: 12.3%) and butter (28.0%). Here, the result is additionally influenced by the high price level of the previous year (statistical basis-related effect).
The favourable year-on-year price trend continued for consumer durables (0.6%). Markedly lower prices were recorded, among other things, for information processing equipment (−15.9%; including notebooks: −25.2%, laser printers: −11.4%) and consumer electronics (−11.4%; including TV sets: −22.5% and DVD recorders: −9.9%). Noteworthy year-on-year price decreases were also recorded for communication (−3.2%).
The decline in the overall index by 0.5% in November 2008 compared with October 2008 is mainly based on falling prices of mineral oil products (9.6%; of which liquid fuel: 11.6% and motor fuels: 9.1%). Food prices were down an average 0.7% from the previous month. In that area, there was a striking number of price decreases for vegetables (2.0%; including cucumbers: 12.2% and tomatoes: -8.2%); only lettuce showed substantial seasonal price rises (+37.0%) on the previous month. A consumer-friendly trend was again the price decrease for butter (−5.6%) and individual dairy products (including curd and fresh full-cream milk: −10.4% each, and cream: −6.9%).
The harmonised consumer price index (HICP) for Germany, which is calculated for European purposes, rose also 1.4% in November 2008 on November 2007. Compared with the previous month, the index was down 0.6%. The HICP estimate of 26 November 2008 was thus slightly corrected downwards.
Available at:
http://www.destatis.de/jetspeed/portal/cms/Sites/destatis/Internet/EN/press/pr/2008/09/PE08__350__611,templateId=renderPrint.psml 
