Date Released: October 5, 2010
SUMMARY INFLATION REPORT
CONSUMER PRICE INDEX
(2000=100)
SEPTEMBER AND AUGUST 2010
Year-on-Year Inflation Rates, All Items |
|||
| September | August | Year-to-date | |
| Philippines | |||
| Headline | 3.5 | 4.0 | 4.1 |
| Core | 3.8 | 4.2 | 3.8 |
| NCR | |||
| Headline | 3.5 | 4.5 | 4.3 |
| AONCR | |||
| Headline | 3.5 | 3.8 | 4.0 |
The annual headline inflation rate at the national level decelerated to 3.5 percent in September from 4.0 percent in August due to the slower annual rate of price adjustments posted in all the commodity groups except in the housing and repairs (H&R) index. Inflation a year ago was 0.6 percent.
Excluding selected food and energy items, core inflation eased to 3.8 percent in September from 4.2 percent in August.
Likewise, annual inflation rate in the National Capital Region (NCR) pegged at 3.5 percent in September was lower than the 4.5 percent growth in August. This was effected by the slowdown in the food, beverages and tobacco (FBT) and fuel, light and water (FLW) index.
Annual inflation rate in Areas Outside the National Capital Region (AONCR) improved to 3.5 percent in September from 3.8 percent in August as slower annual price increases were noted in clothing, FLW and services index.
Year-on-Year Inflation Rates in the Philippines, All Items January 2005 - September 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 |
3.5 |
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 |
||
| September | August | |
| Philippines | -0.2 | 0.2 |
| NCR | -0.8 | 0.4 |
| AONCR | -0.1 | 0.2 |
Price cuts in food items such as rice, corn, chicken, pork and vegetables along with lower charges for electricity rates in many regions including NCR pushed down consumer prices by -0.2 percent in September from 0.2 percent in August. The general downward price adjustments in gasoline, diesel, and kerosene nationwide also contributed to the downtrend.
CONSUMER PRICE INDEX
(2000=100)
SEPTEMBER 2010
By Region, Year-on-Year
The annual inflation rate in NCR slowed down to 3.5 percent in September from 4.5 percent in August.
Annual growth in AONCR likewise eased to 3.5 percent in September from 3.8 percent in August as twelve regions recorded slower annual inflation rates. The biggest slowdown of 0.6 percentage point (4.2% from 4.8%) was seen in CALABARZON. The lowest annual rate was noted in Ilocos and Eastern Visayas at 2.3 percent while the highest rate at 6.3 percent was still in ARMM.
By Commodity Group, Year-on-Year
The annual price increases in all the commodity groups in the Philippines decelerated except for housing and repairs (H&R) index whose rate was higher at 1.6 percent from 1.5 percent. The annual price hike in FBT index improved to 3.2 percent in September from 3.5 percent in August; clothing, 1.9 percent from 2.0 percent; FLW, 11.8 percent from 15.3 percent; services, 3.2 percent from 3.4 percent; and miscellaneous items, 1.3 percent from 1.4 percent.
The national annual inflation for food alone slid to 3.3 percent in September from 3.6 percent in August.
A lower annual price gain was posted in cereal preparations index at 3.1 percent in September from 3.2 percent in August; fish, 2.0 percent from 2.3 percent; fruits and vegetables, 0.6 percent from 3.4 percent; meat, 3.8 percent from 4.8 percent; and miscellaneous foods, 7.3 percent from 7.5 percent. On the other hand, annual growth in the rice index was higher at 1.5 percent from 0.7 percent; corn, 1.0 percent from -0.1 percent; and eggs, 3.4 percent from 2.9 percent. The annual price movement in the dairy products index remained at 1.6 percent.
In NCR, slower annual rates of price increments were registered in the corresponding indexes of FBT and FLW at 1.2 percent and 19.2 percent in September from their respective August rates of 2.3 percent and 24.8 percent. On the contrary, a higher annual price addition was noticed in the H&R index at 1.5 percent from 1.4 percent. Annual price change in clothing, services and miscellaneous items index remained at 1.4 percent, 3.8 percent and 0.8 percent, respectively.
The annual inflation for food alone in NCR decelerated to 1.2 percent in September from 2.4 percent in August.
Negative annual rate of price adjustment was recorded in rice index at -0.2 percent in September from 0.3 percent in August and fruits and vegetables, -7.2 percent from -1.5 percent. Moreover, the annual price increment in the corn index slowed to 12.1 percent from 12.3 percent; cereal preparations, 2.1 percent from 2.2 percent; meat, 2.1 percent from 4.2 percent; and miscellaneous foods, 3.6 percent from 4.0 percent. However, the annual price uptick in eggs index picked up to 3.4 percent from 1.9 percent and fish index, 1.4 percent from 1.2 percent. Annual price adjustment in the dairy products index remained at 1.3 percent.
In AONCR, annual inflation in the clothing index moved at a slower pace of 2.1 percent in September from 2.2 percent in August; FLW, 8.1 percent from 10.4 percent; and services, 2.8 percent from 3.2 percent. Annual inflation for FBT, H&R and miscellaneous items index remained at 3.8 percent, 1.6 percent and 1.5 percent, respectively.
Annual gain for food alone in AONCR remained at its August rate of 3.9 percent in September.
The annual price increase in the index of rice advanced to 1.8 percent in September from 0.7 percent in August as nine regions recorded faster positive annual rates. The biggest jump of 5.2 percentage points was seen in SOCCSKSARGEN (8.0% from 2.8%), the highest annual rate. Meanwhile, the lowest rate of -0.4 percent was in Central Luzon.
The corn index posted a higher annual price gain at 0.8 percent in September from -0.3 percent in August and eggs, 3.4 percent from 3.2 percent. On the other hand, annual price add-on in the cereal preparations index improved to 3.5 percent from 3.6 percent; fish, 2.2 percent from 2.5 percent; fruits and vegetables, 3.0 percent from 4.9 percent; and meat, 4.6 percent from 5.1 percent. Annual inflation for dairy products and miscellaneous foods index remained at 1.6 percent and 8.9 percent, respectively.
By Region, Month-on-Month
Prices in NCR dropped to -0.8 percent in September from 0.4 percent in August. This was due to the declines in the prices of FBT and services items at -0.4 percent in September from their respective August rates of 0.1 percent and -0.1 percent. In addition, the FLW index went down to -4.8 percent from 3.2 percent. Prices of miscellaneous items however grew to 0.1 percent from zero growth while that for clothing and H&R items remained stable as their indices continued to post zero growth during the month.
Consumer prices in AONCR likewise decreased by -0.1 percent in September from 0.2 percent in August. Prices of FLW items further declined by -0.8 percent in September from -0.4 percent in August and services items, -0.2 percent from -0.1 percent. Moreover, price hikes in clothing and miscellaneous items index were slower at 0.1 percent from 0.2 percent. On the other hand, price add-on in the H&R index was higher at 0.2 percent from zero growth while the FBT index had a zero growth from 0.5 percent.
Price decreases were noted in eight regions with the lowest monthly rate of -0.3 percent in Zamboanga Peninsula. The highest month-on-month inflation rate was still posted in ARMM at 0.5 percent.
Price reductions were generally bigger in Luzon and Mindanao compared to Visayas.
By Commodity Group, Month-on-Month
Consumer prices generally went down by -0.2 percent in September from a growth of 0.2 percent in August. Prices of FBT items went down by -0.1 percent in September from 0.4 percent in August; FLW items, -2.3 percent from 0.9 percent; and services items, -0.2 percent from -0.1 percent. In addition, price increases in clothing and miscellaneous items index were slower at 0.1 percent from 0.2 percent. Price gain in H&R index was however higher at 0.1 percent from zero growth.
The continued sufficient supply of broiler chicken in the markets further lowered its prices during the month. Prices of pork in many regions including NCR also went down. Thus, the meat index in the Philippines decreased by -0.9 percent from -0.2 percent; NCR, -1.6 percent from zero growth; and AONCR, -0.5 percent from -0.2 percent.
Increased volume of deliveries of vegetables such as tomatoes, potatoes and leafy vegetables in the markets pulled down the fruits and vegetables index in the Philippines by -0.6 percent from 1.2 percent; NCR, -1.6 percent from -0.6 percent; AONCR, -0.2 percent from 1.7 percent.
Enough supply of corn in the markets was still noticed during the month. This caused its prices to go down in the Philippines and AONCR by -1.7 percent and NCR, -0.2 percent.
Big volume of sales of the low-priced NFA rice primarily pushed down the rice index in NCR at -0.4 percent in September from zero growth in August. Likewise, the rice index in AONCR also dropped by -0.1 percent from 0.3 percent as negative rates were seen in nine regions. Among the regions in AONCR, Cagayan Valley had the biggest decline of -1.0 percent while SOCCSKSARGEN and ARMM have the highest rate of 0.5 percent.
Higher prices of sugar and cooking oil persisted in many regions including NCR that raised the miscellaneous foods index in the Philippines by 0.5 percent; NCR, 0.1 percent; and AONCR, 0.6 percent.
The FLW index in the Philippines dropped by -2.3 percent, NCR, -4.8 percent; and AONCR, -0.8 percent. This was brought about by the lower charges in the electricity rates and price reduction in kerosene recorded in many regions including NCR.
The price roll backs in gasoline and diesel pushed down the services index in the Philippines and AONCR by -0.2 percent and NCR, -0.4 percent.
Upward adjustments in the prices of selected construction materials in some regions effected a 0.1 percent growth in the H&R index in the Philippines and 0.2 percent in AONCR. Prices of H&R items in NCR however generally remained stable as its group’s index still posted a zero growth for three consecutive months.
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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