S.Korea's import prices fall amid strong currency, lower crude price

South Korea's import prices fell for two straight months due to strong local currency and lower commodity prices, including crude oil, central bank data showed on Tuesday.

In local currency terms, import prices decreased 2.4 percent in October from a month earlier after declining 2.3 percent in the prior month, according to the Bank of Korea (BOK). From a year earlier, prices for imported goods dropped 7.3 percent, maintaining the downward trend for 14 straight months.

The South Korean currency appreciated 1.9 percent to the U.S. dollar in October compared with the prior month. The strong currency boosted purchasing power of local consumers for imported products.

Dubai crude, South Korea's benchmark, averaged 105.58 dollars a barrel last month, down 2.2 percent from the previous month.

Prices in imported raw materials retreated 3.6 percent on- month in October, down from a 2.2 percent decline in the previous month.

Those for intermediate goods, including oil, chemical and steel products, declined 2 percent over the same period. Capital goods prices fell 1.2 percent, and those for consumer goods lost 1. 1 percent.

In contract currency terms, import prices dipped 0.8 percent in October from a month earlier, indicating a fall in global product prices amid lower commodity costs.