MAY 2022 INFLATION REPORT OF MARINDUQUE (BASE YEAR: 2018)

Date: 

Tuesday, June 7, 2022

Reference Number: 

2022-06

Special Release


MAY 2022 INFLATION REPORT OF MARINDUQUE(BASE YEAR: 2018)

Table 1. Year-on-Year Inflation Rates (%) in the Philippines, MIMAROPA Region, and Marinduque (2018=100)

Area

May 2022

April 2022

May 2021

Philippines

5.4

4.9

4.1

MIMAROPA Region

5.3

4.1

5.4

Marinduque

3.9

3.5

7.0

 

Figure 1. Year-on-Year Inflation Rates (%) in Marinduque: May 2021 to May 2022 (2018=100)

Source: Philippine Statistics Authority (PSA), Retail Price Survey (RPS) of Selected Commodities and Services for the Generation of Consumer Price Index (CPI)

     The headline inflation rate at the provincial level further increased to 3.9 percent in May 2022, or a change of 0.4 percentage point from the inflation rate in the previous month. In the same reference month of the previous year, it posted at 7.0 percent. The uptrend of inflation in May 2022 was mainly driven by the combined acceleration in the indices for selected commodity groups such as food and non-alcoholic beverages at 3.4 percent, transport at 5.7 percent, and alcoholic beverages and tobacco at 6.5 percent.

Figure 2. Year-on-Year Inflation Rates (%) in Marinduque, by Commodity Group (2018=100)

Source: PSA, Retail Price Survey (RPS) of Selected Commodities and Services for the Generation of Consumer Price Index (CPI)

Moreover, higher annual increments were also noted in the inflation rates of the following commodity groups, when compared with the annual figures from the previous month:

  • Recreation, Sport and Culture, 2.4%;
  • Personal Care, and Miscellaneous Goods and Services, 2.1%;

On the other hand, lower annual gains were observed in the inflation rates of the following commodity groups when compared with the annual figures from the previous month:

  • Clothing and Footwear, 3.9%;
  • Housing, Water, Electricity, Gas, and Other Fuels 5.4%;
  • Furnishing, Household Equipment and Routine Household Maintenance, 2.5%;
  • Health, 5.6%; and
  • Information and Communication,1.3.

Meanwhile, the indices of education services, restaurants and accommodation services, and financial services were maintained at 0.0 percent.

INFLATION RATE BY FOOD GROUP

Figure 3. Year-on-Year Inflation Rates (%) in Marinduque, by Food Group (2018=100)

Source: PSA, Retail Price Survey (RPS) of Selected Commodities and Services for the Generation of Consumer Price Index (CPI)

     The province’s food index accelerated to 3.5 percent in May 2022, from the 3.0 percent in the previous month. This was equivalent to a change of 0.5 percentage point. In May 2021, the food inflation rate was higher at 4.4 percent. Moreover, the uptrend in food inflation was mainly due to the acceleration in the indices of meat and other parts of slaughtered land animals at 10.9 percent, rice at -0.8 percent, and sugar, confectionery, and desserts at 12.9 percent.

The annual indices of the following food items also exhibited faster growth, when compared with the annual figures from the previous month:

  • Oils and fats, 6.4%;
  • Corn, 2.7%;
  • Milk, and other dairy products and eggs, 3.5%;
  • Vegetables, tubers, plantains, cooking bananas and pulses, 9.6%; and
  • Ready-made food and other food products n.e.c., 2.8%.

On the other hand, the annual indices of the following food items exhibited a slowdown, when compared with the annual figures from the previous month:

  • Fish and other seafood, 1.9%; and
  • Fruits and nuts, -12.0%.

PURCHASING POWER OF PESO

     The Purchasing Power of Peso (PPP) in the Marinduque was maintained at 0.84 in May 2022. The PPP registered at 0.87 in May 2021. As a result, the amount of goods that can be presently purchased by consumers were fewer compared to when the PPP was higher. Furthermore, the decrease in PPP was attributed to the higher inflation rate, given that they have an inverse relationship.

 

Figure 4. Purchasing Power of Peso in Marinduque: May 2021 to May 2022 (2018=100)

Source: PSA, Retail Price Survey (RPS) of Selected Commodities and Services for the Generation of Consumer Price Index (CPI)

TECHNICAL NOTES

  • Consumer Price Index is an indicator of the change in the average prices of a fixed basket of goods and services commonly purchased by households relative to a base year
  • Market Basket is a sample of goods and services, which is meant to represent the totality of all the goods and services purchased by households relative to a base year.
  • To determine the commodities that will form the market basket for the 2018-based CPI, the Survey of Key Informants (SKI) was conducted in March 2021. The survey, which was conducted nationwide to store managers, sellers or proprietors, obtained information on the most commonly purchased of goods and availed of services by the households.
  • The commodities in the 2018-based CPI market basket are grouped/classified according to the 2020 Philippine Classification of Individual Consumption According to Purpose (PCOICOP) which is based on the United Nations COICOP. Meanwhile, the commodities in the 2012-based CPI market basket used the 2009 PCOICOP version of classification of commodities.
  • Base year is a reference period, usually a year, at which the index number is set to 100. It is the reference point of the index number series. The CPI is rebased from base year 2012 to base year 2018.
  • Inflation Rate is the annual rate of change or the year-on-year change in the Consumer Price Index (CPI).
  • Purchasing Power of Peso is a measure of the real value of the peso in a given period relative to a chosen reference period. It is computed by getting the reciprocal of the CPI and multiplying the result by 100

 Inflation Rate (reference month, reference year)

= [(CPI (reference month, reference year) - CPI (reference month, previous year)) / CPI (reference month, previous year)] x 100%

For example,

INFLATION RATE (May 2022) = [(CPI (May 2022) - CPI (May 2021)) / CPI (May 2021)] x 100%

                        = [(118.5 – 114.1) / 114.1] x 100%

                        = (4.4 / 114.1) x 100%

                        ≈ 3.9%

 

(SGD) GEMMA N. OPIS

Chief Statistical Specialist

 

 

 

 

 

 

 

 

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