Headline Inflation

Oriental Mindoro’s inflation rate for the bottom 30% income households eased to 4.0 percent in January 2025 from 5.4 percent in December 2024. Inflation in January 2024 was at 3.6 percent. (Tables 1, 2, and Figure 1)

Main Drivers to the Downward Trend of the Headline Inflation

The downtrend in the overall inflation of the bottom 30% income households in January 2025 was primarily brought about by the slower annual increment of food and non-alcoholic beverages at 3.0 percent in January 2025 from 5.8 percent in December 2024. Also contributing to the downtrend was restaurants and accommodation services with 1.5 percent in January 2025 from 4.3 percent in December 2024.

Lower annual increments were also noted in the indices of housing, water, electricity, gas and other fuels with 6.9 percent in January 2025 from 7.2 percent from December 2024, and health with 0.8 percent in January 2025 from 1.0 percent in December 2024.

On the contrary, the indices of the following commodity groups were higher during the month:

a. Transport, 0.9 percent from 0.1 percent;
b. Recreation, sport and culture, 5.6 percent from 4.2 percent;
c. Financial services, 0.0 percent from -0.2 percent;
d. Personal care, and miscellaneous goods and services, 2.2 percent from 2.0 percent;
e. Alcoholic beverages and tobacco, 12.6 percent from 11.1 percent; and
f. Clothing and footwear, 2.0 percent from 1.9 percent.

The indices of the rest of the commodity groups retained their respective previous month’s inflation rates in January 2025. (Figure 2)

Main Contributors to the January 2025 Headline Inflation

The following commodity groups were the top three contributors to the January 2025 overall inflation for the bottom 30% income households of the province:

a. Food and non-alcoholic beverages with 49.1 percent share or 1.96 percentage points;
b. Housing, water, electricity, gas and other fuels with 30.4 percentage share or 1.21 percentage points; and
c. Alcoholic beverages and tobacco, 8.8 percent share or 0.35 percentage point.

Food Inflation

Food inflation for the bottom 30% income households in Oriental Mindoro eased to 3.0 percent in January 2025 from 5.9 percent in the previous month. In January 2024, food inflation was lower at 2.8 percent.

Main Drivers to the Downward Trend of Food Inflation

The deceleration of food inflation in January 2025 was primarily brought about by faster annual decline in the index of rice at 6.5 percent during the month from its annual decrease of 1.9 percent in December 2024. This was followed by meat and other parts of slaughtered land animals with a slower year-on-year increase at 25.1 percent from 33.6 percent annual increase in December 2024.

INFLATION RATE BY FOOD GROUP

Moreover, lower annual growth rates during the month were also noted in the following food groups:

a. Corn, 1.9 percent from 4.1 percent;
b. Flour, bread and other bakery products, past products, and other cereals, 2.4 percent from 2.5 percent;
c. Fish and other seafood, 0.1 percent from 1.8 percent;
d. Fruits and nuts, 5.0 percent from 8.9 percent;
e. Ready-made food and other food products n.e.c., 4.0 percent from 5.2 percent.

In contrast, higher annual increments in January 2025 were observed in the indices of milk, other dairy products and eggs at 2.6 percent from 2.3 percent; and oils and fats, 21.3 percent from 10.8 percent.

Meanwhile, the indices of the rest of the food groups remained at their respective previous month’s annual rates. (Figure 3)

(SGD) CHARLYN ROMERO-CANTOS, PhD
(Chief Administrative Officer)
Officer-in-Charge
Oriental Mindoro Provincial Statistical Office

HTD/JGO

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.

• 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  chosen reference period. It is computed by getting the reciprocal of the CPI and multiplying the result by 100