Date Released: December 7, 2010
SUMMARY INFLATION REPORT
CONSUMER PRICE INDEX
(2000=100)
NOVEMBER AND OCTOBER 2010
Year-on-Year Inflation Rates, All Items |
|||
| November | October | Year-to-date | |
| Philippines | |||
| Headline | 3.0 | 2.8 | 3.8 |
| Core | 3.5 | 3.3 | 3.7 |
| NCR | |||
| Headline | 3.6 | 2.2 | 4.1 |
| AONCR | |||
| Headline | 2.8 | 2.9 | 3.8 |
The annual headline inflation rate at the national level went up to 3.0 percent in November from 2.8 percent in October primarily due to the jump in the annual growth in fuel, light and water (FLW) index to 12.0 percent from 8.3 percent in October. Higher annual rates of price increments in housing and repairs (H&R) and services index also contributed to the uptrend. Inflation a year ago was 2.8 percent.
Excluding selected food and energy items, core inflation advanced to 3.5 percent in November from 3.3 percent in October.
Similarly, the annual inflation rate in the National Capital Region (NCR) increased to 3.6 percent in November from 2.2 percent in October. It resulted from higher annual price adjustments in food, beverages and tobacco (FBT), H&R and FLW index.
Annual inflation rate in Areas Outside the National Capital Region (AONCR) continued to move at a slower pace of 2.8 percent in November from 2.9 percent in October brought about by the deceleration in the annual price gains in FBT and H&R index.
Year-on-Year Inflation Rates in the Philippines, All Items January 2005 - November 2010 |
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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 |
2.8 |
November |
7.1 |
4.6 |
3.2 |
9.9 |
2.8 |
3.0 |
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 |
||
| November | October | |
| Philippines | 0.8 | -0.2 |
| NCR | 1.6 | -0.2 |
| AONCR | 0.6 | -0.2 |
From the -0.2 percent drop in October, consumer prices picked up to 0.8 percent in November. This was caused by higher charges for electricity rates in NCR and in selected regions and the price uptick in LPG, kerosene, gasoline and diesel. Prices for selected food items such as fish, vegetables and chicken also went up during the month.
CONSUMER PRICE INDEX
(2000=100)
NOVEMBER 2010
By Region, Year-on-Year
The annual inflation rate in NCR accelerated to 3.6 percent in November from 2.2 percent in October.
On the other hand, the annual inflation in AONCR continued a downward trend as it settled to 2.8 percent in November from 2.9 percent in October. Eleven regions recorded lower annual growth rates with Zamboanga Peninsula posting the biggest deceleration of 1.1 percentage points (2.2% from 3.3%). Among the regions, Ilocos posted the lowest annual inflation at 0.7 percent while the highest annual rate at 5.2 percent was still in ARMM.
By Commodity Group, Year-on-Year
Higher annual price increments in the Philippines were registered in H&R index at 1.9 percent in November from 1.8 percent in October; FLW, 12.0 percent from 8.3 percent; and services, 3.8 percent from 3.7 percent. Slower annual price increases were however seen in FBT and clothing index at 1.9 percent and 1.7 percent, respectively from their corresponding last month’s rates of 2.0 percent and 1.9 percent. Annual inflation for miscellaneous items remained at 1.2 percent.
The annual inflation for food alone index at the national level remained at its October rate of 2.0 percent.
The annual price changes in fish and miscellaneous foods index were correspondingly higher at 2.3 percent and 7.2 percent in November from 2.0 percent and 7.1 percent in October. On the other hand, slowdowns in the annual price hike were posted in rice index at 0.8 percent from 1.4 percent; cereal preparations, 2.8 percent from 2.9 percent; dairy products, 1.4 percent from 1.6 percent; eggs, 2.7 percent from 3.1 percent; and meat, 1.6 percent from 2.4 percent. An annual price decrease was still recorded in corn index at -0.8 percent from 0.5 percent and fruits and vegetables, -5.7 percent from -7.5 percent.
In NCR, higher annual price increment was posted in FBT index at 0.7 percent in November from -1.0 percent in October; H&R, 2.3 percent from 2.1 percent; and FLW, 18.5 percent from 10.9 percent. On the contrary, the annual price add-ons in miscellaneous items index eased to 0.6 percent from 0.7 percent while those for clothing and services index remained at 1.2 percent and 4.7 percent, respectively.
The food alone index in NCR registered a higher annual inflation rate at 0.6 percent in November from -1.2 percent in October.
The annual rate of price addition in rice index was higher at 0.8 percent in November from -0.3 percent in October; dairy products, 1.4 percent from 1.3 percent; fish, 3.6 percent from 2.2 percent; and miscellaneous foods, 3.9 percent from 3.5 percent. On the other hand, the annual price increase in the corn index dipped to 10.4 percent from 11.6 percent; and cereal preparations, 1.9 percent from 2.0 percent; eggs, 2.6 percent from 3.0 percent. Negative annual rates were still noticed in fruits and vegetables index at -8.9 percent from -20.4 percent and meat, -0.6 percent from -0.2 percent.
In AONCR, the annual growth for FBT index further decelerated to 2.3 percent in November from 2.8 percent in October and H&R, 1.5 percent from 1.6 percent. The annual rate for FLW index was however higher at 8.6 percent from 6.9 percent and services, 3.3 percent from 3.1 percent. Annual inflation for clothing and miscellaneous items index remained at their last month’s rates of 2.0 percent and 1.3 percent, respectively.
The annual price hike in the food alone index in AONCR continued to move at a slower pace of 2.4 percent in November from 2.9 percent in October.
Negative annual price changes were seen in corn and fruits and vegetables index at -1.0 percent and -4.7 percent, respectively from their corresponding last month’s rates of 0.3 percent and -2.9 percent.
The annual price increase in the rice index also improved to 0.9 percent from 1.7 percent as thirteen regions recorded either negative or slower annual price movement. The biggest decrease of 3.6 percentage points was in Zamboanga Peninsula (-1.7% from 1.9%), the lowest annual rate. Meanwhile, the highest annual rate was in Davao and SOCCSKSARGEN at 3.7 percent.
Annual price gain in dairy products index eased to 1.5 percent from 1.6 percent; eggs, 2.8 percent from 3.0 percent; and meat, 2.6 percent from 3.6 percent. A higher annual growth was however noticed in fish index at 2.1 percent from 1.9 percent while those for cereal preparations and miscellaneous foods index remained at 3.2 percent and 8.6 percent.
By Region, Month-on-Month
Consumer prices in NCR showed a positive growth of 1.6 percent in November from -0.2 percent in October due to the 9.6 percent price hike in FLW index from -7.1 percent. Moreover, price uptick in FBT and services index were higher at 1.2 percent and 0.6 percent, respectively from 0.5 percent and clothing and miscellaneous items, 0.1 percent from zero growth. A slower rate of price add-on was however observed in H&R index at 0.2 percent from 1.0 percent.
Prices in AONCR went up 0.6 percent in November from -0.2 percent in October. Upward price adjustment in the heavily weighted FBT index was higher at 0.6 percent from -0.3 percent; FLW, 2.6 percent from -0.7 percent; services, 0.3 percent from 0.2 percent; and miscellaneous items, 0.1 percent from zero growth. Price gain in the clothing index remained at 0.1 percent while the H&R index posted a zero growth from 0.1 percent.
All the regions recorded higher monthly price increments except for Central Visayas and Zamboanga Peninsula. The highest month-on-month inflation was felt in Cagayan Valley at 2.9 percent while the lowest at zero growth was seen in Zamboanga Peninsula.
Among the three big areas of the country, prices of consumer items registered higher growth rates in Luzon compared to Visayas and Mindanao.
By Commodity Group, Month-on-Month
The month-on-month inflation rate in the Philippines rose to 0.8 percent in November from -0.2 percent in October. A 0.7 percent increase in the prices of the heavily weighted FBT items from its previous month’s rate of -0.1 percent and the jump in FLW index at 5.0 percent from -3.0 percent triggered the uptrend. Moreover, prices of services items advanced to 0.4 percent from 0.3 percent and miscellaneous items, 0.1 percent from zero growth. On the other hand, price additions in H&R items was pegged at a slower rate of 0.1 percent from 0.4 percent while a positive monthly growth rate was retained in clothing index at 0.1 percent.
The adverse effects of typhoon “Juan” in the production of vegetables lowered its supply in the markets. Thus, prices of vegetables went up during the month particularly those low-land grown vegetables or those that go into “pinakbet” dish. In addition, higher prices of selected fruits were also noticed in many regions including NCR. All these factors raised the index of fruits and vegetables in the three areas: Philippines, 5.5 percent from -0.3 percent; NCR, 6.7 percent from 4.0 percent; and AONCR, 5.1 percent from -1.5 percent.
Prices of fish rose by 0.7 percent in the Philippines, 1.0 percent in NCR and 0.6 percent in AONCR. Higher prices were triggered by the difficulty in catching fish that usually settle deep in the waters during the cold months.
As the holiday season approaches, bigger demand of chicken was observed during the month. It raised chicken prices as supply was less to meet the market requirements. This resulted to higher monthly growth rates in the meat index in the Philippines and AONCR at 0.6 percent and 0.1 percent from -0.4 percent and NCR, 1.8 percent from -0.3 percent.
Upward adjustments in the prices of sugar in the world market and its low supply caused by the delay in the milling of sugar continued to push its prices up during the month. Price hike in cooking oil was still recorded as typhoons resulted to less production of copra. These factors moved the miscellaneous foods index in the Philippines by 0.5; NCR, 0.2 percent; and AONCR, 0.6 percent.
The continued sufficient supply of rice due to the on-going harvests of palay in many regions correspondingly pulled down the group’s index in the Philippines and AONCR at -0.2 percent and -0.4 percent, respectively. Zamboanga Peninsula recorded the biggest decrease in the rice index at -2.1 percent while Cagayan Valley posted the highest rate of 0.7 percent. On the contrary, prices of rice in NCR climbed by 0.8 percent from zero growth as the price of NFA rice went up during the month.
Higher charges in electricity rates along with the upward adjustments in the prices of LPG and kerosene pushed up the FLW index in the Philippines by 5.0 percent; NCR, 9.6 percent; and AONCR, 2.6 percent. Add-ons in the prices in charcoal and candles in selected regions were also noticed during the month.
The services index in the Philippines grew by 0.4 percent in November from 0.3 percent in October; NCR, 0.6 percent from 0.5 percent; and AONCR, 0.3 percent from 0.2 percent. This was brought about by the general price increments in gasoline and diesel in most of the regions including NCR.
Increased rental rates in NCR and higher daily salary for carpenter, electrician and plumber slightly pulled up the H&R index in the area by 0.2 percent and in the Philippines, 0.1 percent. On the other hand, the H&R index in AONCR had a zero growth from 0.1 percent in October.
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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