Date Released: September 7, 2010
SUMMARY INFLATION REPORT
CONSUMER PRICE INDEX
(2000=100)
AUGUST AND JULY 2010
Year-on-Year Inflation Rates, All Items |
|||
| August | July | Year-to-date | |
| Philippines | |||
| Headline | 4.0 | 3.9 | 4.2 |
| Core | 4.2 | 3.9 | 3.8 |
| NCR | |||
| Headline | 4.5 | 4.1 | 4.4 |
| AONCR | |||
| Headline | 3.8 | 3.8 | 4.1 |
The year-on-year headline inflation rate in the Philippines inched up to 4.0 percent in August from 3.9 percent in July. It resulted from the higher annual growth rates recorded in the indexes of food, beverages and tobacco (FBT), clothing, fuel, light and water (FLW) and miscellaneous items. Inflation a year ago was 0.1 percent.
Excluding selected food and energy items, core inflation advanced to 4.2 percent in August from 3.9 percent in July.
The annual rate of price adjustment in the National Capital Region (NCR) was also higher at 4.5 percent in August from 4.1 percent in July due to the acceleration in the inflation rates of FBT and FLW index.
Annual inflation rate in Areas Outside the National Capital Region (AONCR) in August remained at its July figure of 3.8 percent. Higher annual price increments in FBT and clothing index were offsetted by the slower annual price add-ons in the indexes of H&R, FLW and services.
Year-on-Year Inflation Rates in the Philippines, All Items January 2005 - August 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 |
4.4 |
May |
8.5 |
6.9 |
2.4 |
9.5 |
3.3 |
4.3 |
June |
7.6 |
6.7 |
2.3 |
11.4 |
1.5 |
3.9 |
July |
7.1 |
6.4 |
2.6 |
12.3 |
0.2 |
3.9 |
August |
7.2 |
6.3 |
2.4 |
12.4 |
0.1 |
4.0 |
September |
7.0 |
5.7 |
2.7 |
11.8 |
0.6r |
|
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 |
4.3r |
|
Average |
7.6 |
6.2 |
2.8 |
9.3 |
3.2 |
|
Month-on-Month Inflation Rates, All Items |
||
| August | July | |
| Philippines | 0.2 | 0.2 |
| NCR | 0.4 | 0.1 |
| AONCR | 0.2 | 0.3 |
Price hikes in selected food items such as vegetables, eggs, fish, sugar and cooking oil in many regions including NCR pushed up the country’s month-on-month inflation rate by 0.2 percent in August. Increased charges in electricity rates in NCR and in some regions were noted during the month.
CONSUMER PRICE INDEX
(2000=100)
AUGUST 2010
By Region, Year-on-Year
The annual inflation rate in NCR picked up to 4.5 percent in August from 4.1 percent in July.
The annual inflation rate in AONCR remained at its July rate of 3.8 percent. Higher annual inflation rates were noted in six regions with ARMM posting the biggest increase of 0.5 percentage point (6.0% from 5.5%). Among the regions, the highest annual rate of 6.0 percent was still recorded in ARMM while the lowest rate at 2.5 percent was seen Ilocos and Eastern Visayas.
By Commodity Group, Year-on-Year
At the national level, the annual price gain in FBT index rose to 3.5 percent in August from 3.2 percent in July; clothing, 2.0 percent from 1.9 percent; FLW, 15.3 percent from 14.4 percent; and miscellaneous items, 1.4 percent from 1.2 percent. On the other hand, the annual rate of price adjustments in the H&R and services index correspondingly decelerated to 1.5 percent and 3.4 percent from 1.7 percent and 4.0 percent, respectively.
Annual inflation for food alone at the national level moved upward to 3.6 percent in August from 3.3 percent in July.
On an annual basis, higher price increases were registered in the index of rice at 0.7 percent in August from 0.3 percent in July; dairy products, 1.6 percent from 1.5 percent; eggs, 2.9 percent from 2.3 percent; fruits and vegetables, 3.4 percent from 2.9 percent; meat, 4.8 percent from 4.4 percent; and miscellaneous foods, 7.5 percent from 6.7 percent. However, slower annual price hikes were correspondingly observed in cereal preparations and fish index at 3.2 percent and 2.3 percent from 3.3 percent and 2.8 percent, respectively. The annual price change in the corn index was still negative at -0.1 percent from -0.6 percent.
In NCR, the annual price increments in the indexes of FBT and FLW index were correspondingly higher at 2.3 percent and 25.0 percent in August from their respective last month’s rates of 2.0 percent and 19.7 percent. On the other hand, the annual price addition was slower in the H&R index at 1.4 percent from 1.5 percent and services, 3.8 percent from 4.8 percent. The annual price increases in clothing and miscellaneous items index remained at their respective July rates of 1.4 percent and 0.8 percent.
The annual inflation for food alone in NCR advanced to 2.4 percent in August from 2.1 percent in July.
A higher annual price hike was noticed in the index of rice at 0.3 percent in August from zero growth in July; eggs, 1.9 percent from 0.7 percent; fish, 1.2 percent from 0.1 percent; meat, 4.2 percent from 2.4 percent; and miscellaneous foods, 4.0 percent from 3.8 percent. Meanwhile, the annual price uptick in corn and dairy products correspondingly improved to 12.3 percent and 1.3 percent from 13.0 percent and 1.4 percent, respectively. The annual price gain in cereal preparations index remained at 2.2 percent while that for fruits and vegetables index was negative at -1.5 percent from 1.8 percent.
In AONCR, higher annual inflation were correspondingly seen in FBT and clothing index at 3.8 percent and 2.2 percent in August from 3.5 percent and 2.1 percent, respectively. Meanwhile, a slower annual price add-on was noticed in H&R index at 1.6 percent from 1.9 percent; FLW, 10.4 percent from 11.6 percent; and services, 3.2 percent from 3.7 percent. Annual inflation for miscellaneous items index remained at 1.5 percent.
Annual inflation for food alone in AONCR further moved up to 3.9 percent in August from 3.6 percent in July.
The annual gain in the price of rice grew to 0.7 percent in August from 0.4 percent in July. Nine regions posted faster positive annual growth rates with Zamboanga Peninsula (1.2% from -0.5%) and SOCCSKSARGEN (2.8% from 1.1%) registering the biggest gain of 1.7 percentage points. The highest annual rate was in ARMM at 3.8 percent while the lowest rate of -1.1 percent was in Ilocos.
A higher annual price increase was noted in dairy products index at 1.6 percent from 1.5 percent; eggs, 3.2 percent from 2.7 percent; fruits and vegetables, 4.9 percent from 3.2 percent; and miscellaneous foods, 8.9 percent from 7.9 percent. A slower annual price increment was however observed in cereal preparations index at 3.6 percent from 3.7 percent; fish, 2.5 percent from 3.4 percent; and meat, 5.1 percent from 5.2 percent. Moreover, the annual price movement in corn index was still negative at -0.3 percent from -0.8 percent.
By Region, Month-on-Month
Prices in NCR rose to 0.4 percent in August from 0.1 percent in July as the FLW index jumped by 3.1 percent from 1.1 percent. Similarly, prices of FBT items went up to 0.1 percent from -0.3 percent. On the contrary, prices of services items dropped to -0.1 percent from 0.4 percent. Prices of clothing, H&R and miscellaneous items generally remained stable as their indices have a zero growth.
Price increases in AONCR eased to 0.2 percent in August from 0.3 percent in July. This was due to the drop in the services index at -0.1 percent from 0.5 percent. Price adjustment in FLW index was still negative at -0.4 percent and the H&R index had a zero growth during the month. Meanwhile, price hike in the FBT index was higher at 0.5 percent from 0.3 percent and in clothing and miscellaneous items index at 0.2 percent from 0.1 percent.
Higher month-on-month inflation rates in August were posted in six regions. The highest rate of 0.9 percent was noted in ARMM while the lowest was seen in Ilocos at -0.2 percent.
The monthly price hikes in consumer items were higher in Mindanao compared to Luzon and Visayas.
By Commodity Group, Month-on-Month
Consumer prices at the national level generally went up to 0.2 percent in August, the same rate posted in July. Price hike in FBT index was higher at 0.4 percent in August from 0.2 percent in July; clothing and miscellaneous items, 0.2 percent from 0.1 percent and zero growth; and FLW, 0.9 percent from 0.3 percent. On the other hand, prices of services items dropped by -0.1 percent from 0.4 percent while those for H&R items generally remained stable as its group’s index had a zero growth from 0.2 percent.
The soaring prices of vegetables particularly tomatoes, eggplants, onions, cabbage and upo together with the higher prices of fruits in many regions raised the corresponding fruits and vegetables index in AONCR and in the Philippines by 1.7 percent and 1.2 percent from their respective last month’s rates of 0.9 percent and 0.5 percent. Meanwhile, the group’s index in NCR was still negative at -0.6 percent as sufficient supply of vegetables was noted in the area during the period. Abundant supply of locally grown fruits also contributed to the downtrend.
Decreases in the number of chicken layers limited the supply of eggs in the markets. Thus, the index for eggs moved up in the three areas: Philippines, 0.8 percent; NCR, 1.7 percent and AONCR, 0.6 percent.
The upward adjustments in the prices of sugar and cooking oil in many regions including NCR pulled up the miscellaneous foods index in the NCR and in AONCR by 0.3 percent and 1.2 percent, respectively. The national index moved at its last month’s rate of 0.9 percent.
With many regions posting higher prices of rice, the group’s index in AONCR and in the Philippines grew by 0.3 percent. In NCR, prices of rice generally remained stable during the month as its index had a zero growth.
Prices of selected fish species were higher during the month as unfavorable weather conditions constrained fishermen to do their usual fishing trips. This caused an uptick in the fish index in the three areas: Philippines, 0.2 percent; NCR, 0.4 percent; and AONCR, 0.1 percent.
Enough supply of broiler chicken in the markets primarily brought down the meat index in the Philippines and AONCR by -0.2 percent. In NCR, prices of meat generally remained stable as its group’s index had a zero growth during the month.
Higher charges in the electricity rates in NCR resulted to a rise in the FLW index in the area by 3.1 percent and in the Philippines by 0.9 percent. Meanwhile, the FLW index in AONCR dropped by -0.4 percent due to the price decline in LPG in all the regions.
Upward adjustments in the prices of selected household furnishings and equipment and items for personal care and effects noted in some regions pulled up the miscellaneous items index in the Philippines and AONCR by 0.2 percent. The group’s index in NCR however continued to post a zero growth during the month.
Rollbacks in the prices of gasoline and diesel nationwide contributed to a -0.1 percent drop in the services index in the three areas.
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).
| (Sgd.) CARMELITA N. ERICTA Administrator |
Source: National Statistics Office
Manila,
Philippines
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