Import price index

Can anyone explain how the Import Price Index (IPI ) exactly works?

I’ll guess, for example 1.4, has something the do with margin you make on a product.

But is it in this case 40%? Or does it mean that the import prices for an IPI with 1.4 are higher then an IPI of 1.1, so 1.4 is making you a smaller margin?

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You’re pretty much on it, yeah. An import index of “1” means that you’re importing at the regular price. 1.4 means that you’re paying 40% more, and 0.8 means you’re paying 20% less. Random factors and demand cause that price to fluctuate throughout the game for each item.

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