Date Released: December 5, 2006
SUMMARY INFLATION REPORT
CONSUMER PRICE INDEX
(2000=100)
NOVEMBER AND OCTOBER 2006
Year-on-Year Inflation Rates, All Items |
|||
| November | October | Year-to-date | |
| Philippines | |||
| Headline | 4.7 | 5.4 | 6.4 |
| Core | 4.7 | 5.1 | 5.6 |
| NCR | |||
| Headline | 5.4 | 5.9 | 7.2 |
| AONCR | |||
| Headline | 4.3 | 5.1 | 6.1 |
The year-on-year headline inflation rate in the Philippines continued to move at a slower pace of 4.7 percent in November from 5.4 percent in October. Slowdowns in the annual inflation rates of all the commodity groups except for housing and repairs (H&R) contributed to the downtrend. Inflation a year ago was 7.1 percent.
Excluding selected food and energy items, core inflation eased to 4.7 percent in November from 5.1 percent in October.
Similarly, the annual inflation rate in the National Capital Region (NCR) was lower by 0.5 percentage point to 5.4 percent in November from 5.9 percent in October. This was due to the slower annual price gains in food, beverages and tobacco (FBT), fuel, light and water (FLW) and services items.
Inflation rate in Areas Outside the National Capital Region (AONCR) at 4.3 percent in November was also slower than the 5.1 percent growth in October as the annual increments in the indexes of all the commodity groups except for FBT moved down.
Month-on-Month Inflation Rates, All Items |
||
| November | October | |
| Philippines | 0.1 | 0.1 |
| NCR | 0.2 | 0.3 |
| AONCR | 0.1 | 0.0 |
Prices of selected food items particularly corn¸ chicken, fish species, fruits and vegetables were generally higher in selected regions. Upward adjustments in the electricity rates in NCR were also noted during the month. These factors contributed to a 0.1 percent growth in the general movement of the consumer prices.
CONSUMER PRICE
INDEX
(2000=100)
NOVEMBER 2006
l By Region, Year-on-Year
The inflation rate in NCR at 5.4 percent in November was lower by 0.5 percentage point from 5.9 percent growth in October.
Likewise, inflation rate in AONCR slipped to 4.3 percent In November from 5.1 percent in October as the annual inflation rates in all the regions slowed down. The biggest decrease was in ARMM at 1.6 percentage points (7.1% from 8.7%). The lowest rate was recorded in CAR at 3.0 percent while the highest was still in ARMM at 7.1 percent.
l By Commodity Group, Year-on-Year
The annual inflation rates for all the commodity groups decelerated except for H&R whose inflation remained at 3.7 percent for three consecutive months. Inflation for FBT was slower at 4.9 percent in November from 5.1 percent in October; clothing, 2.9 percent from 3.0 percent; FLW, 7.7 percent from 11.4 percent; services, 4.4 percent from 6.1 percent; and miscellaneous items, 2.5 percent from 2.7 percent.
The inflation rate for food alone at the national level improved by 0.4 percentage point to 4.8 percent in November from 5.2 percent in October.
Slower annual rates were posted in the indexes of cereal preparations, 5.1 percent in November from 5.6 percent in October; dairy products, 5.3 percent from 6.0 percent; eggs, 6.0 percent from 6.3 percent; fish, 5.0 percent from 5.8 percent; and miscellaneous foods, 5.8 percent from 7.3 percent. Higher annual price increases were however noted in corn at 9.8 percent from 8.4 percent; fruits and vegetables, 9.7 percent from 8.9 percent; and meat, 3.1 percent from 2.2 percent. Inflation for rice was at its October rate of 1.4 percent.
In NCR, inflation rate for FBT eased to 5.6 percent in November from 6.2 percent in October; FLW, 9.0 percent from 9.5 percent; and services, 5.4 percent from 6.7 percent. On the other hand, inflation for clothing was higher at 3.4 percent from 3.3 percent; H&R, 4.4 percent from 4.2 percent; and miscellaneous items, 2.5 percent from 2.4 percent.
The inflation rate for food alone in NCR was slower at 5.7 percent in November from 6.3 percent in October.
Lower annual price hike was noted in rice at 0.8 percent in November from 0.9 percent in October; cereal preparations, 6.1 percent from 6.6 percent; dairy products, 6.5 percent from 6.8 percent; eggs, 10.6 percent from 11.4 percent; fish, 3.6 percent from 5.5 percent; fruits and vegetables, 10.2 percent from 12.8 percent; and miscellaneous foods, 6.0 percent from 7.7 percent. On the contrary, higher annual price gain was noticed in meat at 5.5 percent from 3.3 percent while the annual price movement in corn was still at 0.5 percent.
In AONCR, inflation rates for all the commodity groups in November further slackened compared to their respective October rates except for FBT whose inflation remained at 4.7 percent. Rates for clothing eased to 2.8% from 3.0%; H&R, 3.2% from 3.3%; FLW, 6.9% from 12.4%; services, 3.7% from 5.7%; and miscellaneous items, 2.6% from 2.8%.
Inflation for food alone in AONCR moved up at a slower pace of 4.6 percent in November from 4.7 percent in October.
The annual price increment in cereal preparations decelerated to 4.8 percent in November from 5.2 percent in October; dairy products, 4.9 percent from 5.7 percent; eggs, 4.6 percent from 4.7 percent; fish, 5.3 percent from 5.8 percent; and miscellaneous foods, 5.7 percent from 7.2 percent.
The annual price adjustment in rice was faster at 1.6 percent in November from 1.4 percent in October as eight regions posted higher annual inflation rates. The biggest jump of 3.6 percentage points (2.3% from -1.3%) was noted in MIMAROPA.
A higher annual growth rate was also recorded in the price of corn at 10.0 percent in November from 8.5 percent in October; fruits and vegetables, 9.5 percent from 7.7 percent; and meat, 2.1 percent from 1.7 percent.
l By Region, Month-on-Month
Price movements in NCR were registered at 0.2 percent in November, slower than the 0.3 percent growth in October. This was mainly due to the -0.2 percent drop in the prices of the heavily weighted FBT items from the 1.5 percent increase last month. Moreover, rollbacks were still recorded in the prices of petroleum products, hence the services index continued to post a negative rate of change at -0.4 percent from -1.0 percent. However, uptick in the prices of FLW and miscellaneous items were correspondingly higher at 3.1 percent and 0.2 percent from their respective previous month's rates of -0.5 percent and zero growth. Price additions in clothing and H&R items were still at 0.2 percent.
Prices in AONCR picked up by 0.1 percent in November from zero growth in October as prices of FBT and miscellaneous items correspondingly climbed up to 0.5 percent and 0.2 percent from their respective last month's rates of 0.2 percent and 0.1 percent. Meanwhile, downward price adjustments were still seen in FLW and services items at -0.8 percent and -0.3 percent from -0.4 percent. Price hikes in clothing and H&R items remained at 0.2 percent and 0.1 percent, respectively.
The lowest month-on-month inflation rate at -0.8 percent was observed in ARMM while the highest rate was in Cagayan Valley at 0.4 percent.
l By Commodity Group, Month-on-Month
The month-on-month inflation in the Philippines grew by 0.1 percent in November, the same rate posted in October. Prices of H&R and miscellaneous items moved upward by 0.2 percent from 0.1 percent and FLW items, 0.6 percent from -0.4 percent. Price increments in FBT items were lower at 0.3 percent from 0.5 percent while price increase in clothing items was still at 0.2 percent. However, movements in the prices of services items was still negative at -0.4 percent from -0.6 percent.
The adverse effects of typhoons in the production of chicken lowered its supply in the wet markets. Thus, prices of chicken nationwide went up during the month. Higher prices of pork, beef and processed meat products in some regions also contributed to the uptrend. The meat index in the Philippines rose by 0.9 percent from 0.4 percent; NCR, 1.7 percent from 1.1 percent; and AONCR, 0.6 percent from -0.1 percent.
The ample supply of vegetables in the wet markets in NCR reduced their prices during the month. Decreases in the prices of selected fruits in the area were also observed. These factors resulted to the -4.1 percent decline in the group’s index of fruits and vegetables in NCR. On the contrary, higher prices of fruits and vegetables registered in most of the regions raised the group’s index in AONCR by 2.7 percent and in the Philippines, 1.0 percent.
With the lower prices of marine fish species and selected sea foods (shrimps, crabs and mussels) in the wet markets in NCR, the fish index in the area went down by -0.7 percent in November from 2.0 percent growth in October. Meanwhile, the fish index in the Philippines and AONCR picked up by 0.3 percent and 0.5 percent, respectively as prices of fresh fish species and some sea foods moved upward in some regions.
The continued sufficient supply of rice due to the on-going harvests of palay in some regions correspondingly pulled down the group’s index in the three areas: Philippines and AONCR, -0.4 percent and NCR, -0.1 percent.
Sugar was sold at lower prices in many regions brought about by abundant supply in the markets. Moreover, cheaper prices of some spices and seasonings in selected regions were noted during the month. Thus, the index for miscellaneous foods in the Philippines and AONCR went down by -0.1 percent. However, the group’s index in NCR climbed by 0.1 percent due to the upward price adjustments in coffee, powdered tonic drink, cooking oil and selected spices and seasonings.
Higher charges in electricity rates in NCR mainly effected the 3.1 percent increase in its FLW index thereby pushing up the national index by 0.6 percent. However, the FLW index in AONCR further dropped to -0.8 percent from -0.4 percent due to the continued price reductions in LPG and kerosene in most of the regions and lower electricity rates recorded in some regions.
Uptick in the prices of selected construction materials in some regions including NCR primarily caused the H&R index in the Philippines and NCR to grow by 0.2 percent and in AONCR, 0.1 percent.
The downward price adjustments of gasoline and diesel observed nationwide continued to pull down the services index in the three areas: Philippines and NCR, -0.4 percent from -0.6 percent and -1.0 percent and AONCR, -0.3 percent from -0.4 percent.
NOTE: 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
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