The poorest third of Filipinos saw prices of prime commodities rise even higher than the national average of inflation of 6.4 percent in August this year, the Philippine Statistics Authority said.
In a statement posted on its website last Friday, the PSA said the country’s year-on-year inflation, as measured by the Consumer Price Index, for the bottom 30 percent of income households went up by 8.0 percent in August.
It is higher than the 7.3 percent rise the group experienced in July 2018 and the 3.0 percent posted in August 2017, the agency added.
“The indices of all the commodity groups posted higher annual rates during the month, except for fuel, light, and water [FLW] index, whose annual increment slowed down to 10.2 percent,” the PSA said.
The lowest-level earners in the National Capital Region had it worse. Compared to a year-ago level, prices for this group of consumers accelerated by 8.3 percent in August and 7.6 percent in July, in contrast to the 4.7 percent posted in August 2017.
If food alone were the index, the PSA said the annual inflation rate countrywide was at 7.8 percent in August and 6.9 percent in July—more than double the 3.0 percent posted in August 2017.
“Relative to the annual growth rates in the previous month, higher annual mark-ups were also observed in the indices of all the food groups in August 2018, except for the index of corn, which registered a slower annual hike of 3.0 percent this month,” the PSA said.
Contributing to the inflation uptrend in Metro Manila was the 8.1 percent annual mark-up noted in the heavily-weighted food, beverages and tobacco index, the agency said.
Higher annual increases also appeared in the indices of clothing (1.8 percent) and services (2.2 percent). However, the cost of housing and repairs, FLW and miscellaneous expenses posted lower annual gains in August compared to the July rate.
A higher annual uptick of 7.3 percent was registered in the food alone index in NCR during August, the PSA said. “In the previous month, its annual rate was posted at 6.1 percent and in August 2017, 4.7 percent,” it added.
Relative to the annual rate in July, the PSA said annual upticks recorded in the indices of the following food groups were higher during August:
Rice (3.6%);
Cereal preparations (3.0%);
Fruits and vegetables (15.0%);
Meat (7.2%); and
Miscellaneous foods (7.9%).
It also noted the annual rates in the indices of eggs fell by 5.2 percent and corn by 4.5 percent. The indices of dairy products and fish held their July rates of 8.7 percent and 12.3 percent.
Inflation in areas outside NCR for the bottom 30 percent income households likewise picked up by 8.0 percent in August, the PSA said, compared to 7.3 percent in July and 3.0 percent in August 2017.
Compared from their annual rates in July 2018, all the commodity groups outside Metro Manila registered higher annual gains in August 2018, again except for food, light, and water, which saw a slower annual hike of 10.1 percent.
“Relative to their annual increases in the previous month, higher annual add-ons were observed in all regions in August 2018, except for Region VIII (Eastern Visayas) and Region X (Northern Mindanao), which exhibited lower annual rates of 6.9 percent and 8.1 percent, respectively, this month,” the PSA said.
Among the regions, prices in Region II (Cagayan Valley) zoomed to 11.0 percent, while those in Region VII (Central Visayas) were lowest at 5.3 percent.
Year-on-year change for the food alone index in areas outside NCR rose by 7.8 percent in August. The annual rate picked up by 6.9 percent in July 2018 and 2.9 percent in August 2017, the PSA added.
Except for the index of corn whose annual gain slowed to 3.0 percent, all the food groups recorded higher annual upticks during the month as well.