July 2017 Price Situation in the Cordillera

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Consumer Price Index

  • The Consumer Price Index (CPI) is the general measure of the change in the average retail prices of a market basket or collection of goods and services
    commonly purchased by the average Filipino household.
  • The CPI of the Cordillera Administrative Region (CAR) in July 2017 was 143.9. This was higher by 1.5 index points from the 142.4 CPI last July 2016.
  • In general, the CPI increased reflecting the rise in the average prices of goods and services in all the six provinces of CAR.
Table1. Consumer Price Index by Province, CAR:
July 2016 and July 2017
(2006=100)
Province July Index Point Change
2016 2017
CAR 142.4 143.9 1.5
        Abra 134.1 136.5 2.4
        Apayao 131.2 131.9 0.7
        Benguet 144.3 144.1 -0.2
        Ifugao 146.4 151.5 5.1
        Kalinga 138.1 141.7 3.6
        Mt. Province 151.7 155.9 4.2

                  Source: Philippine Statistics Authority

  • Among the CAR provinces, Mountain Province posted the highest CPI for July 2017 at 155.9, followed by Ifugao at 151.5, and Benguet at 144.1. Apayao posted the lowest CPI at 131.9.  
  • In terms of index point change, Ifugao incurred the highest increase at 5.1 points followed by Mountain Province at 4.2 points. 

 

Consumer Price Index by Commodity Groups

  • Among the commodity groups, Alcoholic Beverages and Tobacco had the highest CPI in the region at 217.7. The province of Kalinga incurred the highest CPI on this commodity at 231.8, followed by Apayao, Abra and Benguet at 227.3, 224.3 and 219.7, respectively.
  • Education registered the second highest CPI among the commodity groups in the region for July 2017 at 166.1 index. Among the provinces, Mountain Province had the highest index on education at 258.2, while Apayao had the lowest at 142.2.
  • Food and Non-Alcoholic Beverages ranked third at 156.6. Mountain Province experienced the highest index on food and non-alcoholic beverages at 163.6, followed by the province of Ifugao and Benguet at 160.0 and 159.7, respectively.
  • Communication continued to have the lowest CPI among the commodity groups in the region with 83.3 index. Abra province incurred the highest index on this commodity at 111.4, while Apayao had the lowest at 78.1 index. 
  • Among the CAR provinces, Mountain Province consistently incurred the highest CPI for all items with 155.9 index, while the province of Apayao continued to have the lowest index at 131.9.

 

Table2. Consumer Price Index by Commodity Group and by Province, CAR:
July 2017(2006=100)
Commodity Group Region/Province
CAR Abra Apayao Benguet Ifugao Kalinga Mt. Province
All Items 143.9 136.5 131.9 144.1 151.5 141.7 155.9

        Food and Non - Alcoholic
         Beverages

 156.6 145.7 149.5 159.7 160.0 152.5 163.6

        Alcoholic Beverages and
        Tobaco

 217.7 224.3 227.3 219.7 198.1 231.8 194.0
        Clothing and Footwear 136.4 151.0 118.3 133.3 151.4 123.7 146.0

         Housing, Water, Electricity,
         Gas and Other Fuels

 132.8 115.5 100.1 143.3 144.3 112.7 131.9
          Furnishing, Household
          Equipment and Routine
          Maintainance of the House		 131.8 124.5 115.0 134.1 126.2 139.6 141.2
         Health  132.8 123.9 111.8 138.7 116.7 128.1 139.1
         Transport 131.8 147.9 115.5 130.4 131.4 145.1 123.1
         Communication 83.3 111.4 78.1 79.9 101.0 78.9 87.4
         Recreation and Culture 109.6 110.6 117.5 106.5 108.6 115.1 114.5
         Education 166.1 162.5 142.2 147.3 173.6 172.0 258.2
         Restaurants and
          Miscellaneous Goods
          and Services		 132.0 120.4 133.6 127.3 150.2 134.6 157.5

                  Source: Philippine Statistics Authority

  • By index point change, Alcoholic Beverages and Tobacco recorded the highest which increased by 15.8 points.  Increases were also incurred for Education (4.3 points), and Clothing and Footwear (4.0 points).
  • The rest of the commodity groups reported minimal annual increases in their index points. 

Figure 1. Year-on-Year Consumer Price Index by Commodity Group,
CAR: July 2016 and July 2017 (2006=100)

                                                                   Note:
                                                                    1. includes electricity, Gas & Other Fuels
                                                                                  2. includes Household Equipment and Routine Maintainance of the House
                                                                                  3. includes Miscellaneous Goods and Services
                                                                   Source:Philippine Statistics Authority

Inflation Rate

  • Prices of goods and services in the region weakened by 1.1 percent in July 2017.  
  • Ifugao posted the highest inflation rate at 3.5 percent, followed by Mountain Province at 2.8 percent, and Kalinga at 2.6 percent.
  • Inflation surpassed the July 2016 rate for the province of Ifugao; while other provinces had lower inflation rates in July 2017 as compared to the same month last year. 

Figure 2. Year-on-Year Inflation Rates by Province,
CAR: July 2016 and July 2017 (2006=100)

                                                                                SOURCE: Philippine Statistics Authority

By Commodity Group, Year - on - Year

  • By commodity, the year-on-year inflation rate of the heavily-weighted Food and Non-Alcoholic Beverages index in the region slowed down at 0.3 percent from 1.6 percent in the previous month.
  • Alcoholic Beverages & Tobacco registered the highest inflation rate among other commodities in the region with 7.8 percent increase, followed by Clothing and Footwear, and Education with 3.0 and 2.7 percent increases, respectively.
  • Meanwhile, inflation rates for Communication, Recreation and Culture, Education, and Restaurants and Miscellaneous Goods and Services were the same last year.
Table 3. Year-on-Year Inflation Rates by Commodity Groups,
CAR: June and July 2017 (2006 = 100)
Commodity Group Inflation Rates
June  2017 July 2017
All Items 1.7 1.1
        Food and Non-Alcoholic Beverages 1.6 0.3
        Alcoholic Beverages and Tobacco 7.2 7.8
        Clothing and Footwear 2.9 3.0
        Housing, Water, Electricity, Gas and Other Fuels 0.9 0.8
        Furnishing, Household Equipment & Routine Maintenance of the House 1.1 1.8
        Health 0.8 1.0
        Transport 1.8 1.5
         Communication 0.1 0.1
         Recreation and Culture 1.0 1.0
         Education 2.7 2.7
        Restaurants and Miscellaneous Goods and Services 1.8 1.8
                  Source: Philippine Statistics Authority

By Food Items, Year - on - Year

  • Corn (4.3), Meat (3.8), Fish (3.7), Oil and Fats (2.4), and Milk, Cheese and Eggs (2.3) persisted to have the highest price increases in July 2017.

  • Meanwhile, Vegetables, Sugar, Jam, Honey, Chocolate and Confectionery, Food Products not elsewhere classified, and Fruits incurred negative inflation rates of 10.5 percent, 0.9 percent, 5.5 percent, and 0.2 percent, respectively.
Table5. Year - on Year Inflation Rates of Selected Food Items, CAR:
June 2017 and 2016; July 2017 and 2016(2006=100)
Food Items 2017  2016 Inflation Rates
June July June July Previous Current
Bread and Cereals 156.0 156.5 153.6 153.9 1.6 1.7
        Rice 152.9 153.4 150.1 150.4 1.9 2.0
        Corn 176.5 177.9 169.8 170.6 3.9 4.3
        Other Cereals* 165.9 166.1 165.0 165.1 0.5 0.6
Meat 137.8 137.8 132.1 132.7 4.3 3.8
Fish 178.4 178.2 173.1 171.9 3.1 3.7
Milk, Cheese and Eggs 140.6 140.9 137.1 137.7 2.6 2.3
Oils and Fats 184.3 185.4 180.2 181.1 2.3 2.4
Fruits 194.2 194.0 192.6 194.4 0.8 -0.2
Vegetables 174.5 169.5 178.4 189.3 -2.2 -10.5
Sugar, Jam, Honey, Chocolate & Confectionery 138.3 137.4 138.5 138.7 -0.1 -0.9
Food Products, N. E. C.  158.3 157.7 164.0 166.8 -3.5 -5.5
                  *includes flour, cereal preparation, bread, pasta, and other bakery products
                  Source: Philippine Statistics Authority

 

Purchasing Power of Peso (PPP)

  • The value of the peso in the region was at 69 centavos in July 2017. This dropped by one centavo from 70 centavos in July 2016.  This means that one peso in July 2006 is worth 69 centavos in July 2017.
  • In other words, a basket of goods that can be bought 100 pesos in July 2006 is worth 145 pesos in July 2017.
  • The PPP in all the provinces generally weakened in July 2017 as compared to July 2016.
  • Apayao had the highest peso value at 76 centavos, followed by Abra at 73 centavos, and Kalinga at 71 centavos. Meanwhile, Mountain Province had the lowest peso value at 64 centavos.

 

Figure 3. Purchasing Power of Peso by Province,
CAR: June 2016 and June 2017 (2006=100)

                                                                            SOURCE: Philippine Statistics Authority

 

 

Technical Notes

Consumer Price Index (CPI) is a general measure of the change in the average retail prices of a market basket or collection of goods and services commonly purchased by the average Filipino household.

Inflation Rate (IR) is the rate of change in the average price level between two periods (year-on year/month-on-month as measured by the CPI)

Purchasing Power of the Peso (PPP) measures how much the peso in the reference year is worth in another year

Base Year (BY) is the reference point of the index number series, at which the index number is set to zero.

Market Basket (MB) is a sample of goods and services used to represent all goods and services produced or bought.