Date Released: June 6, 2006
SUMMARY INFLATION REPORT
CONSUMER PRICE INDEX
(2000=100)
MAY 2006 AND APRIL 2006
Year-on-Year Inflation Rates, All Items |
|||
| May | April | Year-to-date | |
| Philippines | |||
| Headline | 6.9 | 7.1 | 7.2 |
| Core | 6.1 | 6.3 | 6.2 |
| NCR | |||
| Headline | 7.9 | 8.0 | 8.1 |
| AONCR | |||
| Headline | 6.4 | 6.8 | 6.8 |
The year-on-year headline inflation rate in the Philippines further decelerated to 6.9 percent in May from 7.1 percent in April. The slower annual inflation rates posted in the indices of all the commodity groups except for clothing and services brought about the downtrend. Inflation a year ago was 8.5 percent.
Excluding selected food and energy items, core inflation was lower at 6.1 percent in May from 6.3 percent in April.
Similarly, inflation rate in the National Capital Region (NCR) slowed to 7.9 percent in May from 8.0 percent in April due to the downward trend in the rates of all the commodity groups except for clothing and services.
Inflation in Areas Outside the National Capital Region (AONCR) eased to 6.4 percent in May from 6.8 percent in April brought about by slower movements in the annual price increments of all the commodity groups except for housing and repairs (H&R) and services.
Month-on-Month Inflation Rates, All Items |
||
| May | April | |
| Philippines | 0.2 | 0.1 |
| NCR | 0.2 | 0.1 |
| AONCR | 0.2 | 0.1 |
Compared with April 2006, the general level of consumer prices increased to 0.2 percent in May from 0.1 percent as selected food items such as flour and flour products, milk and milk products, vegetables, cooking oil and common spices and seasonings were priced higher during the month. The continued upward price movements in gasoline and diesel also contributed to the uptrend.
CONSUMER PRICE
INDEX
(2000=100)
MAY 2006
l By Region, Year-on-Year
The inflation rate in NCR slowed by 0.1 percentage point to 7.9 percent in May from 8.0 percent in April.
Inflation in AONCR was also at a slower pace of 6.4 percent in May from 6.8 percent in April. All the regions posted lower annual inflation rates except for Central Visayas, Zamboanga Peninsula, and Caraga. The biggest slowdown of 0.9 percentage point was recorded in CAR (6.0 percent from 6.9 percent). The lowest inflation rate was noted in Western Visayas at 4.3 percent while the highest rate was in ARMM at 9.4 percent.
l By Commodity Group, Year-on-Year
Compared to a year ago, prices of FBT items moved up at slower rate of 5.9 percent in May from 6.1 percent in April; H&R items, 4.0 percent from 4.2 percent; fuel, light and water (FLW) items, 13.4 percent from 15.9 percent; and miscellaneous items, 3.1 percent from 3.3 percent. On the other hand, annual price hikes in clothing and services items were correspondingly higher at 3.2 percent and 11.1 percent from their respective last month’s rates of 3.1 percent and 10.6 percent.
The inflation rate for food alone at the national level decelerated to 5.9 percent in May from 6.1 percent in April.
Slower rates of annual increases were observed in the prices of rice, 4.1 percent in May from 5.6 percent in April; cereal preparations, 6.1 percent from 6.5 percent; dairy products, 5.9 percent from 6.0 percent; eggs, 5.7 percent from 5.9 percent; and meat, 1.7 percent from 2.4 percent. Meanwhile, annual inflation rate was higher in the price of corn at 3.6 percent from 3.5 percent; fish, 5.2 percent from 4.5 percent; and fruits and vegetables, 9.7 percent from 9.3 percent. The annual price gain in miscellaneous foods remained at 8.9 percent.
In NCR, inflation for FBT was slower at 5.5 percent in May from 5.6 percent in April; H&R, 5.2 percent from 5.4 percent; FLW, 14.1 percent from 16.7 percent; and miscellaneous items, 2.8 percent from 3.1 percent. However, inflation rates for clothing and services correspondingly went up to 2.6 percent and 14.0 percent from 2.4 percent and 12.9 percent, respectively.
Inflation for food alone in NCR at 5.5 percent in May was slower than the 5.7 percent growth in April.
Lower rates were seen in the prices of cereal preparations, 7.2 percent in May from 7.7 percent in April; meat, 0.5 percent from 2.0 percent; and miscellaneous foods, 9.9 percent from 10.0 percent. On the other hand, faster annual price increments were noticed in eggs, 9.8 percent from 9.6 percent; fish, 2.4 percent from 1.2 percent; and fruits and vegetables, 9.2 percent from 8.5 percent. The annual price gains in rice, corn and dairy products correspondingly remained at 0.5 percent, 2.2 percent and 6.8 percent.
In AONCR, inflation rate for FBT slowed to 5.9 percent in May from 6.2 percent in April; clothing, 3.4 percent from 3.5 percent; FLW, 13.0 percent from 15.5 percent; and miscellaneous items, 3.2 percent from 3.4 percent. Inflation for services was higher at 9.6 percent from 9.4 percent while in H&R it remained at 3.2 percent.
On an annual basis, increments in the prices of food items eased to 5.9 percent in May from 6.2 percent in April.
The annual price hike in rice was at 4.7 percent in May from 6.3 percent in April as all the regions except for Zamboanga Peninsula posted lower annual rates with the biggest slowdown of 6.4 percentage points (3.2% from 9.6%) seen in CAR.
Annual upward price movements in cereal preparations were slower at 5.7 percent in May from 6.2 percent in April; eggs, 4.5 percent from 4.8 percent; and meat, 2.2 percent from 2.6 percent.
Higher annual price addition was recorded in corn at 3.7 percent from 3.5 percent; fish, 5.9 percent from 5.3 percent; and fruits and vegetables, 9.9 percent from 9.5 percent. Meanwhile, the respective annual price adjustments in dairy products and miscellaneous foods were still at 5.7 percent and 8.4 percent.
l By Region, Month-on-Month
The month-on-month inflation in NCR went up to 0.2 percent in May from 0.1 percent in April mainly due to the 1.2 percent growth in the prices of services items. Increases in the prices of FBT and clothing items remained at 0.2 percent and miscellaneous items, 0.1 percent. Prices of FLW items further dropped by -1.5 percent from -0.5 percent while prices of H&R items posted a zero growth from 0.1 percent.
Compared with the 0.1 percent increment in April 2006, movements in the general level of consumer prices was higher for AONCR at 0.2 percent in May. Prices of FBT items moved upward to 0.4 percent in May from 0.2 percent in April; H&R items, 0.2 percent from 0.1 percent; and services items, 0.6 percent from 0.3 percent. Price add-ons in clothing and miscellaneous items were however slower at 0.2 percent from 0.3 percent. Meanwhile, price movements in FLW items was still negative at -1.1 percent. The highest month-on-month inflation at 0.8 percent was registered in Central Visayas while the lowest rate was in Eastern Visayas at zero growth.
l By Commodity Group, Month-on-Month
The general level of consumer prices grew to 0.2 percent in May from 0.1 percent in April. This was mainly effected by the 0.4 percent growth of the heavily weighted FBT items from April’s 0.2 percent. Prices of services items also went up to 0.8 percent from 0.3 percent. On the other hand, price gains in miscellaneous items slowed to 0.2 percent from 0.3 percent while increments in the prices of H&R items were still at 0.1 percent. Prices of FLW items further declined by -1.2 percent from -0.9 percent.
The continued add-ons in the prices of flour and flour products (bread, biscuits and noodles) raised the index of cereal preparations in the Philippines by 0.4 percent; NCR, 0.6 percent; and AONCR, 0.3 percent.
With the upward adjustments in the prices of milk and milk products still observed in most of the regions including NCR, the dairy products index in the Philippines and AONCR further went up correspondingly by 0.5 percent and 0.4 percent from 0.3 percent and in NCR, 0.7 percent from 0.5 percent.
Prices of vegetables were up during the month. This resulted from the delays in moving fresh harvests to NCR from provincial sources due to the effects of typhoon Caloy causing the fruits and vegetables index in the area to move upward by 0.7 percent from 0.2 percent. However, minimal effects of typhoon Caloy was felt in selected regions hence, the group’s index in AONCR grew by 0.1 percent from -1.1 percent. Overall, the national index was up by 0.2 percent from -0.7 percent.
Higher price quotations of common spices and seasonings, tea and cooking oil in many regions correspondingly raised the miscellaneous foods index in the Philippines and AONCR by 0.5 percent and 0.7 percent. Likewise, additions in the prices of common spices and seasonings, powdered tonic drink and margarine in NCR caused the group’s index in the area to move up by 0.1 percent.
Prices of corn in NCR still remained stable as its index continued posting zero growth. Prices of corn in the Philippines and AONCR however advanced by 1.2 percent, slower than their corresponding last month’s rates of 1.7 percent and 1.6 percent.
The price increments in rice at the national level and AONCR were correspondingly slower at 0.4 percent and 0.5 percent from their respective previous month’s rates of 0.5 percent and 0.6 percent. Meanwhile, the price of rice in NCR remained stable as the group’s index posted a zero growth from 0.1 percent.
Reductions in the prices of selected fresh fish species, crabs, shells and mollusks pulled down the group’s index in NCR by -0.3 percent. Meanwhile, the price additions in some fresh fish species in selected regions raised the fish index in AONCR and at the national level by 0.2 percent.
The fair weather conditions that generally prevailed in the country during the month brought continued good production of eggs. This resulted to sufficient supply of eggs in the markets. Thus, the group’s price index declined in the Philippines by -0.2 percent; NCR, -1.0 percent; and AONCR, -0.1 percent.
The services index in the Philippines climbed by 0.8 percent; NCR, 1.2 percent; and AONCR, 0.6 percent due to the series of price increments in gasoline and diesel.
The continued downward price adjustment of LPG nationwide along with lower charges in electricity rates in selected regions including NCR caused the FLW index in the three areas to post negative rates: Philippines, -1.2 percent; NCR, -1.5 percent; and AONCR, -1.1 percent
Higher prices of selected construction materials in some regions pushed up the H&R indices in the Philippines and AONCR by 0.1 percent and 0.2 percent, respectively. Meanwhile, prices of H&R items in NCR generally remained stable during the month as its group’s index registered a zero growth.
NOTES:
The second phase survey report from Palawan was not received as of June 6, 2006.
CPIs and inflation rates by province and selected city are also available upon request at NSO, Industry and Trade Statistics Department, Economic Indices and Indicators Division (Telephone Numbers: 716-39-35 and 715-33-47, email address: r.staana@census.gov.ph).
(Sgd.) CARMELITA N. ERICTA
Administrator
Source: National Statistics Office
Manila, Philippines
Page last updated: June 6, 2006