Date Released: April 6, 2010
SUMMARY
INFLATION REPORT
CONSUMER PRICE INDEX
(2000=100)
MARCH AND FEBRUARY 2010
Year-on-Year Inflation Rates, All Items |
|||
| March | February | Year-to-date | |
| Philippines | |||
| Headline | 4.4 | 4.2 | 4.2 |
| Core | 3.9 | 3.6 | 3.5 |
| NCR | |||
| Headline | 5.0 | 4.1 | 4.2 |
| AONCR | |||
| Headline | 4.1 | 4.3 | 4.3 |
The year-on-year headline inflation rate in the Philippines went up to 4.4 percent in March from 4.2 percent in February due to the higher annual growth rates of clothing, fuel, light and water (FLW) and services index. Inflation a year ago was 6.4 percent.
A slower annual growth rate was however seen in the heavily weighted food, beverages and tobacco (FBT) index at 3.1 percent in March from 3.8 percent in February.
Likewise, annual inflation rate in the National Capital Region (NCR) picked up to 5.0 percent in March from 4.1 percent in February. Higher annual price increases in housing and repairs (H&R), FLW and services index contributed to the uptrend.
Annual inflation rate in Areas Outside the National Capital Region (AONCR) further eased to 4.1 percent in March from 4.3 percent in February. It resulted from the slower annual price hikes posted in FBT and H&R index.
Excluding selected food and energy items, core inflation increased by 3.9 percent in March from 3.6 percent in February.
Year-on-Year Inflation Rates in the Philippines, All Items January 2005 - March 2010 |
||||||
Month |
Year |
|||||
| 2005 | 2006 | 2007 | 2008 | 2009 | 2010 | |
January |
8.4 |
6.7 |
3.9 |
4.9 |
7.1 |
4.3 |
|---|---|---|---|---|---|---|
February |
8.5 |
7.6 |
2.6 |
5.4 |
7.3 |
4.2 |
March |
8.5 |
7.6 |
2.2 |
6.4 |
6.4 |
4.4 |
April |
8.5 |
7.1 |
2.3 |
8.3 |
4.8 |
|
May |
8.5 |
6.9 |
2.4 |
9.5 |
3.3 |
|
June |
7.6 |
6.7 |
2.3 |
11.4 |
1.5 |
|
July |
7.1 |
6.4 |
2.6 |
12.3 |
0.2 |
|
August |
7.2 |
6.3 |
2.4 |
12.4 |
0.1 |
|
September |
7.0 |
5.7 |
2.7 |
11.8 |
0.7 |
|
October |
7.0 |
5.4 |
2.7 |
11.2 |
1.6 |
|
November |
7.1 |
4.6 |
3.2 |
9.9 |
2.8 |
|
December |
6.7 |
4.3 |
3.9 |
8.0 |
4.4 |
|
|
||||||
Average |
7.6 |
6.2 |
2.8 |
9.3 |
3.2 |
|
Month-on-Month Inflation Rates, All Items |
||
| March | February | |
| Philippines | 0.2 | 0.4 |
| NCR | 0.7 | 0.6 |
| AONCR | 0.0 | 0.4 |
Higher charges in electricity rates and general upward price adjustments in gasoline and diesel were observed in NCR. Price cuts in fish, chicken, fruits and vegetables were however observed in many regions in AONCR. These mixed price trends resulted to the 0.2 percent growth in the monthly price movements of consumer items at the national level in March. This was slower than the 0.4 percent growth recorded in February.
The annual inflation rate in NCR climbed to 5.0 percent in March from 4.1 percent in February.
On the other hand, annual inflation rate in AONCR further decelerated to 4.1 percent in March from 4.3 percent in February as slower annual inflation rates were registered in ten regions. The biggest slowdown of 0.9 percentage point was noticed in SOCCSKSARGEN (4.0% from 4.9%). The lowest rate was still observed in Ilocos and Northern Mindanao at 2.7 percent while the highest rate at 7.0 percent was in ARMM.
The annual price increase in clothing index in the Philippines was higher at 2.1 percent in March from 2.0 percent in February; FLW, 14.6 percent from 11.0 percent; and services, 6.8 percent from 5.6 percent. Meanwhile, annual price add-on in FBT index eased to 3.1 percent from 3.8 percent; H&R, 1.7 percent from 1.8 percent; and miscellaneous items, 1.5 percent from 1.7 percent.
The annual inflation for food alone at the national level moved at a slower rate of 3.1 percent in March from 3.8 percent in February.
Negative annual rate of price movement was still registered in the index of corn at -4.4 percent in March from -1.0 percent in February. In addition, the annual price increase in the index of rice further improved to 0.7 percent from 2.0 percent; cereal preparations, 3.2 percent from 3.5 percent; dairy products, 1.9 percent from 2.3 percent; eggs, 2.0 percent from 2.5 percent; fish, 4.1 percent from 4.2 percent; fruits and vegetables, 1.4 percent from 3.6 percent; and meat, 4.9 percent from 5.6 percent. A higher annual price hike was however seen in miscellaneous foods index at 5.6 percent from 5.4 percent.
In NCR, the annual rate of price increment in H&R index was higher at 1.4 percent in March from 1.1 percent in February; FLW, 19.9 percent from 11.8 percent; and services, 8.4 percent from 6.2 percent. On the other hand, the annual rate of price gain in FBT index slowed to 2.4 percent from 3.0 percent; clothing, 1.6 percent from 1.7 percent; and miscellaneous items, 0.9 percent from 1.6 percent.
Annual inflation for food alone in NCR further decelerated to 2.3 percent in March from 3.0 percent in February. All the food groups either posted negative or slower annual rates except for the corn index whose annual inflation was higher at 21.8 percent from 16.9 percent.
The annual rates of price movements in rice and eggs index declined at -0.3 percent and -2.9 percent, respectively from their corresponding last month’s rates of 0.1 percent and -2.4 percent. Slower annual price gain was also recorded in the index of cereal preparations at 1.9 percent from 2.2 percent; dairy products, 1.4 percent from 1.7 percent; fish, 5.3 percent from 5.7 percent; fruits and vegetables, 0.8 percent from 3.8 percent; meat, 4.0 percent from 4.9 percent; and miscellaneous foods, 2.4 percent from 2.5 percent.
In AONCR, lower annual price hikes were correspondingly recorded in FBT and H&R index at 3.3 percent and 2.1 percent in March from their respective February rates of 3.9 percent and 2.2 percent. The annual inflation for clothing index was however higher at 2.3 percent from 2.2 percent; FLW, 11.8 percent from 10.5 percent; and services, 6.0 percent from 5.2 percent. Annual inflation for miscellaneous items index remained at 1.7 percent.
Annual inflation for food alone in AONCR further decelerated to 3.3 percent in March from 4.0 percent in February.
Annual gain in the price of rice improved to 0.8 percent in March from 2.2 percent in February. Except for CALABARZON, MIMAROPA and Central Visayas, all the regions either recorded negative or lower annual rates. The biggest decline of 4.4 percentage points was noticed in Zamboanga Peninsula (0.3% from 4.7%).
Annual price movement in the corn index further dropped to -4.8 percent from -1.2 percent. Moreover, annual price add-on in the cereal preparations index eased to 3.8 percent from 4.0 percent; dairy products, 2.1 percent from 2.5 percent; eggs, 3.6 percent from 4.0 percent; fruits and vegetables, 1.7 percent from 3.5 percent; and meat, 5.3 percent from 5.9 percent. On the other hand, the annual price increment in miscellaneous foods index was higher at 7.1 percent from 6.7 percent while that for fish index remained at 3.8 percent.
Price increases in NCR grew to 0.7 percent in March from 0.6 percent in February. Prices of clothing and H&R items advanced to 0.4 percent from 0.1 percent and services items, 0.9 percent from -0.3 percent. On the other hand, price gain in FLW index was slower at 6.0 percent from 8.2 percent. A price decrease was still seen in FBT index at -0.5 percent from -0.6 percent while that for miscellaneous index remained stable as it posted a zero growth from 0.2 percent.
Consumer prices in AONCR generally remained stable as it recorded a zero growth in March from 0.4 percent in February. Prices of FBT items dropped by -0.2 percent from 0.3 percent. Price gain in FLW index was also slower at 1.0 percent from 1.5 percent. On the contrary, price hikes in the clothing and services index were correspondingly higher at 0.3 percent and 0.4 percent from 0.2 percent while those for H&R and miscellaneous items index remained at 0.1 percent and 0.2 percent, respectively.
Compared with February, ten regions registered lower month-on-month inflation rates in March. The lowest rate of -0.5 percent was noticed in Central Luzon while the highest was seen in CALABARZON, MIMAROPA, SOCCSKSARGEN and ARMM at 0.4 percent.
Excluding NCR, on the average, prices in Luzon generally remained stable compared to Visayas and Mindanao.
The month-on-month inflation rate in the Philippines eased to 0.2 percent in March from 0.4 percent in February mainly due to the -0.3 percent decline in the prices of the heavily weighted FBT index from 0.1 percent. Slowdowns in price hikes were also noticed in FLW and miscellaneous items at 2.8 percent and 0.1 percent, respectively from their corresponding previous month’s rates of 3.8 percent and 0.2 percent. Meanwhile, price addition in the clothing index was higher at 0.3 percent from 0.2 percent; and H&R and services, 0.2 percent and 0.6 percent respectively from 0.1 percent.
The continued flow of supplies of vegetables from various production sites lowered their prices in the markets. Abundant supplies of mangoes, bananas, papayas and other in-season fruits in the markets also pulled down their prices during the month. Thus, the rate in the aggregate index for fruits and vegetables in the three areas was still negative: Philippines, -4.0 percent, NCR and AONCR, -3.9 percent.
Negative rates were recorded in the index of fish in the three areas: Philippines, -0.7 percent in March from -0.4 percent in February; NCR, -1.3 percent from 0.4 percent; and in AONCR, -0.6 percent from -0.5 percent. This was due to the continued peak fishing season of tuna and the good catch of fishermen brought about by the prevalence of good weather conditions that cut down prices of fresh fish, shrimps, crabs and shells in the wet markets during the month.
Enough supply of chicken and the weakening demand for meat and meat products with the start of the observance of the Lenten season brought down the meat index in the Philippines and NCR by -0.1 percent and -0.4 percent, respectively. Prices of meat in AONCR remained stable as its group’s index had registered a zero growth during the month.
The index of rice in NCR still recorded a negative rate of 0.1 percent from -0.7 percent as its supply in the markets met the consumer requirements during the month. Price hikes of rice in AONCR also improved as eight regions registered either zero growth or lower rates. Thus, the index of rice in the Philippines and AONCR moved up at slower pace of 0.5 percent and 0.6 percent, respectively from their corresponding previous month’s rates of 0.7 percent and 0.9 percent.
Add-ons in the prices of cooking oil, sugar, powdered tonic drink and selected spices and seasonings were noticed in March. Prices of meals eaten outside the home were also up in many regions in AONCR. These factors raised the miscellaneous foods index at 0.3 percent in the Philippines; NCR, 0.1 percent; and AONCR, 0.4 percent. These were however slower than their corresponding last month’s rates of 1.9 percent, 0.9 percent; and 2.4 percent.
With the continued higher charges for electricity rates and price gains in kerosene in many regions including NCR, the FLW index in the Philippines went up by 2.8 percent; NCR, 6.0 percent; and AONCR, 1.0 percent. These were however slower than their respective last month’s rates of 3.8 percent, 8.2 percent and 1.5 percent.
The general upward adjustments in the prices of gasoline and diesel primarily pushed the services index in the three areas: Philippines, 0.6 percent from 0.1 percent; NCR, 0.9 percent from -0.3 percent; and AONCR, 0.4 percent from 0.2 percent.
Price hikes of selected construction materials in some regions including NCR effected the 0.2 percent growth in the H&R index in the Philippines; 0.4 percent in NCR; and 0.1 percent in AONCR.
CONSUMER PRICE INDEX
(2000=100)
MARCH 2010
By Region, Year-on-Year
By Commodity Group, Year-on-Year
By Region, Month-on-Month
By Commodity Group, Month-on-Month
NOTES:
The first and second phase survey reports from Sulu were not received as of April 6, 2010.
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).
(Sgd.) CARMELITA N. ERICTA
Administrator
Source: National Statistics Office
Manila, Philippines
Page last updated: April 6, 2010