* r - revised

• Year-on-year inflation based on the consumer price index (CPI) for the bottom 30% income households at the national level went up 3.1 percent in the third quarter of 2012 from 2.4 percent in the second quarter. This was effected by higher quarterly average inflation posted in all the commodity groups except in the services index. The third quarter average inflation in 2011 was 5.2 percent.
  

  • Likewise, inflation in NCR accelerated to 3.3 percent in the third quarter from 0.5 percent in the second quarter. It resulted from higher annual increment in the heavily-weighted food, beverages and tobacco (FBT) index along with the faster annual movements in the rest of the commodity groups, except services index.

  • Annual inflation in Areas Outside NCR (AONCR) rose 3.2 percent in the third quarter from 2.4 percent in the second quarter. Higher annual gains were seen in all the commodity groups except in fuel, light and water (FLW) and services indices.

• On a quarterly basis, prices of items for this particular group of consumers in the Philippines picked up 1.2 percent in the third quarter from 0.9 percent in the second quarter of 2012. This was attributed to the upward price adjustments in the heavily-weighted food items such as rice, corn, fruits, vegetables, meat, milk and milk products, sugar and meals eaten outside the home during the period.

Year-on-Year Inflation Rates in the Philippines, All Items

First Quarter 2007 - Third Quarter 2012

* r - revised

• By Region, Year-on-Year
  

• The annual inflation in NCR jumped 3.3 percent in the third quarter from 0.5 percent in the second quarter of 2012.

• Similarly, inflation in AONCR grew by 3.2 percent during the quarter from 2.4 percent in the second quarter of 2012 due to higher annual rates recorded in 11 regions. The biggest increase of 2.9 percentage points (7.2% from 4.3%) was posted in Central Visayas, and consequently the highest among the regions. The lowest annual rate of 0.5 percent was seen in Ilocos region.

• By Commodity Group, Year-on-Year

  On a year-to-year basis, inflation in the FBT index in the country moved up at a faster rate of 3.0 percent in the third quarter from 2.1 percent in the second quarter of 2012; clothing index, 2.6 percent from 2.4 percent; housing and repairs (H&R) index, 4.0 percent from 2.8 percent; FLW index, 4.7 percent from 4.6 percent; and miscellaneous index, 2.3 percent from 2.2 percent. On the other hand, the annual hike in the services index eased to 2.3 percent from 2.8 percent.

  The annual growth in the food alone index in the Philippines escalated to 3.0 percent in the third quarter from 1.9 percent in the second quarter.

  A higher annual gain was recorded in the rice index at 1.9 percent in the third quarter from 1.3 percent in the second quarter; dairy products index, 2.4 percent from 2.2 percent; eggs index, 4.1 percent from 3.4 percent; fish index, 7.1 percent from 6.2 percent; fruits and vegetables index, 3.8 percent from 3.5 percent; and miscellaneous foods index, 0.6 percent from -4.3 percent. Meanwhile, the corn and meat indices have slower annual additions at 3.8 percent and 0.7 percent, respectively from their corresponding previous quarter rates of 5.5 percent and 0.9 percent. The annual adjustment in cereal preparations index remained at 3.6 percent.

• In NCR, all the commodity groups exhibited higher annual upticks except in services index whose annual increase decelerated to 0.8 percent from 1.0 percent.

  Annual movement in the food alone index in NCR jumped 3.5 percent in the third quarter from 0.4 percent in the second quarter of 2012.

  Higher annual add-ons were registered in all the food groups except in the indices of corn and egg whose annual mark-ups slowed to 2.5 percent from their previous quarter rates of 3.4 percent and 2.6 percent.

• In AONCR, the annual inflation in FBT index rose by 3.0 percent in the third quarter from 2.1 percent in the second quarter of 2012; clothing index, 2.6 percent from 2.4 percent; H&R index, 4.0 percent from 2.8 percent; and miscellaneous index, 2.3 percent from 2.2 percent. However, the annual increment in the services index slid to 2.3 percent from 2.9 percent with the FLW index retaining its last quarter’s rate of 4.7 percent.

  The annual change in the food alone index in AONCR advanced to 2.9 percent in the third quarter from 1.9 percent in the second quarter of 2012.

  The annual inflation in the rice index picked up 1.9 percent in the third quarter from 1.3 percent in the second quarter as nine regions had higher annual rates.

  The annual upward adjustment in dairy products index was pegged at 2.3 percent in the third quarter from 2.1 percent in the second quarter; eggs index, 4.1 percent from 3.3 percent; fish index, 7.1 percent from 6.2 percent; fruits and vegetables index, 3.7 percent from 3.5 percent; and miscellaneous foods index, 0.6 percent from -4.3 percent. Those for the rest of the food groups improved, except in cereal preparations index whose quarterly rate remained at 3.6 percent.

• By Region, Quarter-to-Quarter

  Compared to a quarter ago level, prices of consumer items in the bottom 30% income group in NCR grew by 2.0 percent in the third quarter from 0.2 percent in the second quarter. This was brought about by the 2.6 percent mark-up in the heavily- weighted FBT index from 0.2 percent. In addition, all the other commodity groups had higher quarterly growths except in H&R and services indices whose rates correspondingly improved to 0.7 percent and 0.1 percent from 0.9 percent and 0.4 percent, respectively.

  Following the same trend in NCR, prices in AONCR inched up 1.2 percent in the third quarter from 1.0 percent in the second quarter of 2012 as the FBT index gained 1.4 percent from 0.9 percent. The rest of the commodity groups recorded either slower or negative rates during the quarter with the clothing index retaining its last quarter’s rate of 0.9 percent.

  Eleven regions had higher quarter-on-quarter inflation rates. The highest quarterly rate was in Central Visayas at 2.9 percent.

  On the average, price add-ons in Visayas were faster than those in Luzon and Mindanao.

• By Commodity Group, Quarter-to-Quarter

  Prices of items for the bottom 30% per capita income group at the national level leaped by 1.2 percent in the third quarter from 0.9 percent in the second quarter of 2012. The uptrend was triggered by the higher quarterly movement registered in FBT index at 1.4 percent from 0.9 percent. Slowdowns in the quarterly increases were however noticed in the other commodity groups with a negative rate of -0.1 percent recorded in the FLW index. The annual rate for clothing index remained at 0.9 percent.

  The devastating effects of the monsoon rains, floods and typhoons during the quarter particularly in the production areas in Luzon lowered supplies of vegetables in the markets. Moreover, prices of fruits such as mango, pineapple and banana generally went up during the quarter. These factors raised the fruits and vegetables index in the three areas: Philippines, 2.4 percent from -2.2 percent; NCR, 13.1 percent from -1.5 percent; and AONCR, 2.3 percent from -2.3 percent.

  Upsurge in the prices of sugar in all the regions together with the price increments in meals eaten outside the home pushed up the miscellaneous foods index in the Philippine and AONCR to 2.1 percent from 1.2 percent; and NCR, 2.5 percent from 0.1 percent.

  With six regions recording higher price mark-ups in rice, the group’s index in AONCR and in the Philippines grew by 1.1 percent. The biggest gain of 2.5 percentage points (3.7% from 1.2%) was observed in MIMAROPA. Likewise, the rice index in NCR rose 0.9 percent from 0.3 percent.

  The limited supplies of selected fish species in the markets brought about by the weather disturbances experienced in most of the regions during the quarter resulted to the 1.5 percent uptick in the group’s index in the country and in AONCR. In NCR, the fish index also climbed by 0.2 percent from -0.3 percent as prices of selected fresh and canned fish were higher in the area.

  Most of the regions showed upward price adjustments in beef, pork, and chicken and in selected processed meat. Thus, movement in the meat index in the Philippines and AONCR was pegged at 0.2 percent and in NCR, 1.4 percent.

  Higher prices of powdered milk and selected milk products were noticed in most of the regions during the period. Hence, the dairy products index at the national level gained 0.7 percent; NCR, 3.3 percent; and AONCR, 0.6 percent.

• Prices of selected medicines and hospital charges were observed higher in many regions including NCR. Price rollbacks in gasoline and diesel nationwide were however noticed during the quarter. These offsetting price movements caused a slower quarterly growth in the services index in the three areas: Philippines and AONCR, 0.6 percent from 1.1 percent and 1.0 percent, respectively; and NCR, 0.1 percent from 0.4 percent.

• Prices of selected items for household operations and personal care and effects like soap, detergents and some beauty aide and toilet articles generally moved up in most of the regions. Thus, the miscellaneous index in the Philippines inched up 0.7 percent; NCR, 1.1 percent; and in AONCR, 0.6 percent.

• The FLW index in the country and AONCR dropped by -0.1 percent due to the general downward adjustments in the prices of LPG and kerosene along with the price reductions in firewood. On the other hand, increases in the prices of charcoal and higher electricity rates in NCR pushed up the FLW index in the area by 0.7 percent.

Note:

For detailed information about the series, please refer to the full report entitled “The Consumer Price Index for Bottom 30% Income Households in the Philippines, January 2010 - December 2010 (2000=100)” posted on the NSO website on May 19, 2011. (http://www.census.gov.ph/data/sectordata/B30tx.html)