This year has been very positive for Latvian industry, and the increase in production volumes could reach 6-7% this year. According to information published by the Central Statistical Bureau, Latvia's manufacturing output increased by 3.9% in October this year compared to October last year.

Meanwhile, in industry as a whole, production volumes in October grew by only 2.4%, as the energy sector's output fell by 7%. In addition, producer prices have risen significantly faster than production volumes in recent months, and industrial turnover in euro terms increased by more than 20% in October.

The pressure of raw material and energy prices on Latvian producers is currently very high, and producer price inflation in Latvia has also exceeded 20%. Therefore, entrepreneurs are increasingly forced to pass on cost increases to consumers, while higher consumer price inflation limits the real purchasing power of the population not only in Latvia but also in other European and global countries. Although the prices of certain resources, such as oil, have fallen globally in recent weeks, the pressure on producers in Latvia will continue.