Prices for both manufactured goods at the factory gate and raw materials rose in January driven by higher costs for petroleum and primary metal products, Statistics Canada reported today.

Prices charged by manufacturers, as measured by the industrial product price index, were up 0.5% from December to January. Year-over-year, the index rose 2.2%, down from December’s year-over-year increase of 2.6%.

The raw materials price index grew 5% from December to January on higher-priced non-ferrous metals and vegetable products after three months of decreases, the agency said.

Compared to January of last year, raw materials cost factories 17.8% more, an increase similar to the 12-month change of 17.7% registered for December.

The industrial product price index, which reflects the prices that producers in Canada receive as the goods leave the plant gate, stood at 111.7 in January, up from December’s 111.1. The index uses 1997 figures as a benchmark 100 points.