The recent spike in food prices affected the poorest Filipinos the most, according to data released by the Philippine Statistics Authority (PSA) on Friday. The PSA said inflation experienced by the bottom 30-percent income households was at 6.8 percent in the third quarter.
This was the highest increase in prices that the poorest among Filipinos experienced since the first quarter of 2009 when inflation for the income group averaged a punishing 12.3 percent.
“The uptrend was attributed to a higher annual growth in the heavily weighted food, beverages and tobacco [FBT] index at 8.4 percent,” the PSA said.
The inflation experienced by the bottom 30-percent income households was at 6.5 percent in the second quarter and 3.5 percent in the July-to-September period in 2013. The PSA added that quarter-to-quarter inflation for the bottom 30 percent income households in the Philippines moved up to 1.9 percent during the third quarter of 2014.
The PSA data showed that the country’s food alone index increased by 8.7 percent during the third quarter of 2014. In the second quarter, it was at 8 percent.
Further, faster annual hikes were noted in the indices of corn, 8.7 percent; cereal preparations, 3 percent; dairy products, 2.8 percent; eggs, 4 percent; fish, 5.6 percent; fruits and vegetables, 7.3 percent; meat, 5.3 percent; and miscellaneous foods, 9.3 percent. Meanwhile, the annual increase in the rice index eased but remained in double-digit growth to 13.1 percent during the quarter.
“Increments in the prices of food items like rice, chicken, pork, garlic, fruits and eggs were observed during the quarter,” the PSA said. “Upward adjustments in the prices of selected medicines, some personal care and effects and higher charges in hospitals and increases in movie admission fees in selected provinces were also noted,” it added.
Annual inflation in the National Capital Region, likewise, went up 6.8 percent in the third quarter of 2014.
Last quarter, the annual growth was recorded at 6.1 percent and 1.1 percent in the third quarter of 2013.
The PSA attributed this to higher annual increases were noticed in all the commodity groups except in the fuel, light and water index. Areas Outside the National Capital Region (AONCR), meanwhile, posted a 6.8 percent annual growth in the third quarter of 2014. It was 6.5 percent in the second quarter of 2014 and 3.5 percent during the same period last year. This, the PSA said, was due to a higher annual rate of 8.4 percent in the FBT index.