6401.0 - Consumer Price Index, Australia, Mar 2018 Quality Declaration 
Latest ISSUE Released at 11:30 AM (CANBERRA TIME) 24/04/2018   
   Page tools: Print Print Page Print all pages in this productPrint All RSS Feed RSS Bookmark and Share Search this Product

MAIN CONTRIBUTORS TO CHANGE

CPI GROUPS

The discussion of the CPI groups below is ordered in terms of their absolute significance to the change in All groups index points for the quarter (see Tables 6 and 7). Unless otherwise stated, the analysis is in original terms.

Weighted average of eight capital cities, Percentage change from previous quarter
Graph: Weighted average of eight capital cities, Percentage change from previous quarter



HOUSING GROUP (+0.7%)

The main contributors to the rise in the housing group this quarter are gas and other household fuels (+6.0%), electricity (+1.8%), new dwelling purchase by owner-occupiers (+0.5%) and rents (+0.2%). The rise in gas and other household fuels and electricity is driven by increases in wholesale prices. The rise in new dwelling purchase by owner-occupiers is driven by rises in the price of inputs.

Over the last twelve months, the housing group rose 3.3%.

In seasonally adjusted terms, the housing group rose 0.8% this quarter. The main contributor to the rise is electricity (+1.9%).


TRANSPORT GROUP (+1.1%)

The main contributors to the rise in the transport group this quarter are motor vehicles (+1.4%) and automotive fuel (+0.9%).

The following graph shows the pattern of the average daily prices for unleaded petrol for the eight capital cities over the last fifteen months.

AVERAGE PRICE OF UNLEADED PETROL (91 OCTANE), cents per litre
Graph: AVERAGE PRICE OF UNLEADED PETROL (91 OCTANE), cents per litre


Over the twelve months, the transport group rose 2.9%.

In seasonally adjusted terms, the transport group rose 0.9% this quarter. The main contributor to the rise is automotive fuel (+0.9%).


EDUCATION GROUP (+2.6%)

The main contributors to the rise in the education group this quarter are secondary education (+3.3%) and preschool and primary education (+3.2%) following the commencement of the new school year.

Over the last twelve months, the education group rose 2.6%.

In seasonally adjusted terms, the education group fell 0.5% this quarter. The main contributor to the fall is tertiary education (-1.5%).


HEALTH GROUP (+2.2%)

The main contributors to the rise in the health group this quarter are pharmaceutical products (+5.6%) and medical and hospital services (+1.5%). These rises are a result of the cyclical reduction in the proportion of consumers who qualify for subsidies under the Pharmaceutical Benefits Scheme (PBS) and Medicare Benefits Scheme (MBS), as well as the co-payment indexation for PBS. The safety net threshold amount for both the PBS and MBS are reset on 1 January each year, and the co-payment indexation for PBS is scheduled on the same date.

Over the last twelve months, the health group rose 4.2%.

In seasonally adjusted terms, the health group rose 0.8% this quarter. The main contributor to the rise is medical and hospital services (+1.1%).


FOOD AND NON-ALCOHOLIC BEVERAGES GROUP (+0.5%)

The main contributor to the rise in the food and non-alcoholic beverages group this quarter is vegetables (+3.7%). The rise in vegetable prices is due to adverse weather conditions in major growing areas, impacting supply. The rise is partially offset by a fall in fruit (-2.7%) due to price falls for seasonally available fruits such as plums, peaches, nectarines, watermelons, rockmelons and grapes.

Over the last twelve months, the food and non-alcoholic beverages group rose 0.5%.

In seasonally adjusted terms, the food and non-alcoholic beverages group rose 0.7% this quarter. The main contributor to the rise is fruit (+4.6%).


ALCOHOL AND TOBACCO GROUP (+0.7%)

The main contributor to the rise in the alcohol and tobacco group this quarter is beer (+2.0%) due to increases in input prices and the flow on effects of the federal excise tax increase effective 5 February 2018.

Over the last twelve months, the alcohol and tobacco group rose 7.0%.

In seasonally adjusted terms, the alcohol and tobacco group rose 1.5% this quarter. The main contributor to the rise is tobacco (+2.6%).


INSURANCE AND FINANCIAL SERVICES GROUP (+0.3%)

The main contributor to the rise in the insurance and financial services group this quarter is insurance (+0.6%).

Over the past twelve months, the insurance and financial services group rose 1.0%.

In seasonally adjusted terms, the insurance and financial services group rose 0.4% this quarter. The main contributor to the rise is insurance (+0.7%).


RECREATION AND CULTURE GROUP (-0.7%)

The main contributors to the fall in the recreation and culture group this quarter is international holiday travel and accommodation (-2.4%) due to the winter off-peak seasons in Europe and America. Audio, visual, and computing media and services (-6.1%) also contributed to the fall this quarter.

Over the last twelve months, the recreation and culture group rose 0.6%.

In the CPI, airfares and accommodation are collected in advance (at the time of payment), but are only used in the CPI in the quarter in which the trip is undertaken. International airfares are collected two months in advance (January for travel in March) and domestic airfares are collected one month in advance (February for travel in March).

In seasonally adjusted terms, the recreation and culture group rose 0.2% this quarter. The main contributor to the rise is domestic holiday travel and accommodation (+2.0%).


CLOTHING AND FOOTWEAR GROUP (-2.0%)

The main contributors to the fall in the clothing and footwear group this quarter are garments for women (-2.5%) and garments for infants and children (-4.9%) due to ongoing competition and discounting activity in the retail industry.

Over the last twelve months, the clothing and footwear group fell 3.5%.

In seasonally adjusted terms, the clothing and footwear group fell 0.5% this quarter. The main contributor to the fall is garments for women (-1.4%).


FURNISHINGS, HOUSEHOLD EQUIPMENT AND SERVICES GROUP (-0.4%)

The main contributor to the fall in the furnishings, household equipment and services group this quarter is furniture (-2.8%) due to ongoing competition and continued discounting activity in the retail industry.

Over the last twelve months, the furnishings, household equipment and services group fell 0.1%.

In seasonally adjusted terms, the furnishings, household equipment and services group rose 0.4% this quarter. The main contributor to the rise is childcare (+1.0%).


COMMUNICATION GROUP (-0.4%)

The main contributor to the fall in the communication group this quarter is telecommunication equipment and services (-0.4%).

Over the last twelve months, the communication group fell 3.4%.

The communication group is not seasonally adjusted.


INTERNATIONAL TRADE EXPOSURE - TRADABLES AND NON-TRADABLES

The tradables component of the All groups CPI fell 0.4% in the March quarter 2018. The tradable goods component fell 0.2% mainly due to audio, visual and computing media and services (-6.1%), furniture (-2.8%) and audio, visual and computing equipment (-2.9%). The tradable services component fell 2.2% due to international holiday travel and accommodation (-2.4%).

The non-tradables component of the All groups CPI rose 0.8% in the March quarter 2018. The non-tradable goods component rose 0.9%, mainly due to pharmaceutical products (+5.6%), beer (+2.0%) and electricity (+1.8%). The non-tradable services component rose 0.9%, mainly due to secondary education (+3.3%) and medical and hospital services (+1.5%).

Over the twelve months to the March quarter 2018, the tradables component fell 0.5% and the non-tradables component rose 3.1%.

In seasonally adjusted terms, the tradables component of the All groups CPI rose 0.2% and the non-tradables component rose 0.8%.


SEASONALLY ADJUSTED ANALYTICAL SERIES

The All group CPI seasonally adjusted rose 0.5% this quarter, and the original All groups CPI recorded a 0.4% rise.

The trimmed mean rose 0.5% in the March quarter 2018, compared to a rise of 0.4% in the December quarter 2017. Over the last twelve months, the trimmed mean rose 1.9%, compared to a rise of 1.8% over the twelve months to the December quarter 2017.

The weighted median rose 0.5% in the March quarter 2018, following a rise of 0.5% in the December quarter 2017. Over the last twelve months, the weighted median rose 2.0%, compared to a rise of 2.0% over the twelve months to the December quarter 2017.

ORIGINAL
SEASONALLY ADJUSTED
Dec Qtr 2017 to Mar Qtr 2018
Dec Qtr 2017 to Mar Qtr 2018
%
%

All groups CPI
0.4
0.5
Food and non-alcoholic beverages
0.5
0.7
Alcohol and tobacco
0.7
1.5
Clothing and footwear
-2.0
-0.5
Housing
0.7
0.8
Furnishings, household equipment and services
-0.4
0.4
Health
2.2
0.8
Transport
1.1
0.9
Communication(a)
-0.4
-0.4
Recreation and culture
-0.7
0.2
Education
2.6
-0.5
Insurance and financial services
0.3
0.4
International trade exposure series
Tradables
-0.4
0.2
Non-tradables
0.8
0.8

(a) not seasonally adjusted


A detailed explanation of the seasonal adjustment of the All Groups CPI and calculation of the trimmed mean and weighted median measures is available in Information Paper: Seasonal Adjustment of Consumer Price Indexes, 2011 (cat. no. 6401.0.55.003) available on the ABS website. Revisions to the seasonally adjusted estimates can be the result of the application of concurrent seasonal adjustment, described in paragraph 15 of the Explanatory Notes.