Fig. 1 Inflation Rate in the Philippines, All Items:
October 1999 – October 2000
(1994 = 100)

CONSUMER PRICE INDEX
(1994=100)
OCTOBER 2000

l By Region, Year-on-Year

® The inflation rate for MM was 5.3 percent in October, as was the inflation estimate in September.

® Inflation in AOMM rose to 4.7 percent in October from 4.2 percent in September. Eight regions posted higher inflation rates. The biggest increase was in Southern Tagalog at 1.2 percentage points. The highest rate was still observed in ARMM at 8.7 percent while the lowest was still in Ilocos at 3.3 percent.

l By Commodity Group, Year-on-Year

è All the commodity groups except FLW posted higher inflation rates in October. FBT advanced by 2.9 percent in October from 2.6 in September; clothing, 2.7 percent from 2.4 percent; housing and repairs (H&R), 4.7 percent from 4.2 percent; services, 11.9 percent from 11.5 percent; and miscellaneous items, 3.0 percent from 2.5 percent.

è In Metro Manila, the inflation rates for FBT were higher by 0.1 percentage point; clothing, 0.6 percentage point; services, 0.3 percentage point; and miscellaneous items, 1.0 percentage point. However, that for FLW was slower by 1.3 percentage points while inflation for H&R was also the September rate of 4.0 percent.

® For areas outside Metro Manila (AOMM), all the commodity groups posted higher inflation rates. The rates for FBT increased by 0.4 percentage point; clothing, 0.2 percentage point; H&R, 0.6 percentage point; FLW and miscellaneous items, 0.3 percentage point; and services 0.1 percentage point.

• The inflation rate for food alone went up to 3.0 percent in October from 2.5 percent in September.

• The inflation rate for rice moved up to 4.0 percent in October from 3.0 percent in September. Eleven regions registered higher rates, with the biggest increase in Cagayan Valley at 4.2 percentage points. Higher rates were also noted in the prices of dairy products, 3.4 percent from 1.3 percent; eggs, 0.2 percent from –0.2 percent; fruits and vegetables, 0.7 percent from -0.4 percent; and miscellaneous foods, 2.2 percent from 1.7 percent. Prices of meat and cereal preparations increased at their September rates of 1.1 percent and 3.0 percent.

• The inflation rates for corn decelerated to 5.3 percent in October from 7.8 percent in September; and fish, 4.5 percent from 4.7 percent.

l By Region, Month-on-Month

• Prices in MM moved at 0.4 percent in October from 0.9 percent in September. Lower rates were noted in FBT, 0.0 percent from 1.0 percent; H&R, 0.1 percent from 1.2 percent; and FLW, 0.1 percent from 1.7 percent. Higher rates were recorded in clothing, 0.5 percent from 0.1 percent; services, 1.6 percent from 0.4 percent; and miscellaneous items, 0.9 percent from 0.4 percent.

• Prices in AOMM increased to 0.8 percent in October, from 0.2 percent in September. The rates for FBT were higher by 0.2 percentage point; clothing, 0.1 percentage point; H&R, 1.0 percentage point; FLW, 1.3 percentage points; services, 1.6 percentage points; and miscellaneous items, 0.3 percentage point. Compared to September, ten regions recorded higher rates. The highest rate was in Southern Tagalog at 1.4 percent while the lowest was in Western Visayas at zero growth.

l By Commodity Group, Month-on-Month

• Except for FBT whose month-on-month inflation rate slowed down to 0.3 percent from 0.4 percent, inflation in all other commodity groups picked up in October. The rates for clothing went up to 0.5 percent from 0.3 percent; H&R, 0.7 percent from 0.5 percent; FLW, 1.3 percent from 1.1 percent; services, 1.8 percent from 0.4 percent; and miscellaneous items, 0.6 percent from 0.2 percent.

  • The price of rice declined in many regions including in MM brought about by the on-going harvest season. Month-on-month decline was biggest in Western Visayas at 2.6 percent, followed by Southern Mindanao at 2.1 percent. Thus, negative rates of 0.1 percent were registered in the Philippines and AOMMM and 0.5 percent in MM.

  • Corn was likewise sold cheaper in many regions due to abundant supply. Month-on-month growth rates were negative in AOMM and the Philippines at 0.3 percent and 0.1 percent respectively. However, in MM corn prices were up by 7. 9 percent as prices of supply coming from the neighboring regions also went up.

  • Fish prices in MM and AOMM declined due to sufficient supply brought about by good weather conditions. The index dropped by –0.1 percent and –0.4 percent in the Philippines and MM respectively with a zero growth noted in AOMM.

  • Prices of dairy products in the three areas significantly increased at 2.1 percent from 0.5 percent in the Philippines; 2.3 percent from 0.6 percent in MM; and 2.0 percent from 0.4 percent in AOMM. Prices of evaporated, condensed and infant milk went up in many areas during the month.

  • The continued price increase in bread, flour, biscuits, noodles and native cakes pushed up the cereal preparations indices in the Philippines, MM and AOMM correspondingly to 1.0 percent, 2.6 percent and 0.5 percent.

  • In general, prices of vegetables were higher in October compared to the previous month. Increases of 1.4 percent and 0.4 percent were noted in AOMM and the Philippines. The added effect in the increase of transport fares and gasoline prices were already felt as vegetables and some fruits in Luzon were priced higher than in September. However, in MM abundant supply coming from other sources caused vegetable prices to drop with the fruits and vegetables index recording a –2.6 percent decline.

Results of the survey at the middle of the month were not received from the following provinces: