Inflation eased to 2.1 percent in February because of slower price increases in food and non-alcoholic beverages, among others, the Philippine Statistics Authority said Wednesday.
In a press briefing, the PSA said food inflation slowed to 2.6 percent in February from 3.8 percent in January. The state statistics bureau noted that rice inflation further slowed to -4.9 percent from -2.3 percent in January.
Assistant Secretary Divina Gracia Del Prado said the average price of regular-milled rice nationwide even fell from P48.25 in January to P42.23 last month.
Inflation of housing, water, electricity, gas, and other fuels also decelerated to 1.6 percent, and so did transport inflation—from 1.1 percent to -0.2 percent.
But the PSA noted that pork prices jumped by 12.1 percent in February, while the price of chicken meat leapt by 10.8 percent. The cost of passenger transport by sea also soared to 56.2 percent in February.
Del Prado said the African swine fever problem continue to hurt pork prices in the Philippines. She said, however, that the Department of Agriculture’s plan to impose a maximum suggested retail price on pork may help ease price hikes.
“Given other things constant, it can slow down yung inflation ng pork pag na-impose ito… it might lead to deceleration or even a negative inflation,” she said.
She attributed the climbing chicken prices, meanwhile, to bird flu.
Del Prado also said the typhoons that hit the country late last year seem to still have an effect on prices, as vegetable inflation remains high at 7.1 percent.
She noted, however, that rice inflation may remain negative for the rest of the year, barring any supply side shocks.
Core inflation, which strips away food and energy items that are prone to big swings, was at 2.4 percent.
Inflation was at 2.9 percent in January. The February clip is lower than the 2.2 to 3 percent expectation of the Bangko Sentral ng Pilipinas.
The National Economic and Development Authority said government will continue to work to keep prices low and manageable for Filipinos.
Socioeconomic Planning Secretary Arsenio Balisacan said the Department of Agriculture will implement water management plans and provide financial assistance and credit support to farmers, as the Philippines expects six to 13 typhoons to develop from March to August.
