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 Cordillera Administrative Region (CAR) in June 2017 was 144.0. This was higher by 2.4 index points as compared to the 141.6 CPI in June  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:
June 2016 and June 2017
(2006=100)

                  Source: Philippine Statistics Authority

• Among the CAR provinces, Mountain Province posted the highest CPI for June  2017 at 155.3, followed by Ifugao at 151.1, and Benguet at 144.7. Apayao  posted the lowest CPI at 132.0.  
• In terms of index point change, Ifugao incurred the highest increase at 5.1 points followed by Mountain Province at 3.9 points. 

Consumer Price Index by Commodity Groups

• Among the commodity groups, Alcoholic Beverages and Tobacco had the highest CPI in the region at 215.7. The province of Kalinga incurred the highest CPI on this commodity at 228.1, followed by Apayao, Abra and Benguet at 227.1, 220.0 and 217.9, respectively.
• Education registered the second highest CPI among the commodity groups in the region for June 2017 at 165.9 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 157.1. Mountain Province experienced the highest index on food and non-alcoholic beverages at 162.4, followed by the province of Benguet and Ifugao at 161.4 and 159.6, 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 155.3 index, while the province of Apayao continued to have the lowest index at 132.0.

Table2. Consumer Price Index by Commodity Group and by Province, CAR:
June 2017(2006=100)

                  Source: Philippine Statistics Authority

• By index point change, Alcoholic Beverages and Tobacco recorded the highest which increased by 14.5 points.  Increases were also incurred for Education (4.3 points), Clothing and Footwear (3.8 points) and Food and  Non-alcoholic Beverages (2.5 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: June 2016 and June 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 1.7 percent in June 2017.  
• Ifugao posted the highest inflation rate at 3.5 percent, followed by Mountain Province at 2.6 percent, and Kalinga at 2.5 percent.
• Inflation surpassed the June 2016 rates for the province of Ifugao; while other provinces had lower inflation rates in June 2017 as compared to the same month last year. 

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

By Commodity Group, Year - on - Year

• By commodity, the year-on-year growth of the heavily-weighted Food and Non-Alcoholic Beverages index in the region stayed at 1.6 percent, same from the previous month.
• Alcoholic Beverages & Tobacco registered the highest inflation rate among other commodities in the region with 7.2 percent increase, followed by Clothing and Footwear, and Education with 2.9 and 2.7 percent increases, respectively.

Table 3. Year-on-Year Inflation Rates by Commodity Groups,
CAR: May and June 2017 (2006 = 100)

By Food Items, Year - on - Year

• Meat (4.3), Corn (3.9), Fish (3.1), Milk, Cheese and Eggs (2.6) persisted to have the highest price increases in June 2017.

• Meanwhile, Food Products not elsewhere classified, Vegetables, and Sugar, Jam, Honey, Chocolate and Confectionery have a negative inflation rate of 3.5 percent, 2.2 percent and 0.1 percent, respectively.

Table5. Year - on Year Inflation Rates of Selected Food Items, CAR:
May 2017 and 2016; June 2017 and 2016(2006=100)

Purchasing Power of Peso (PPP)

• The value of the peso in the region was at 69 centavos in June 2017. This dropped by two centavos from 71 centavos in June 2016.  This means that one peso in June 2006 is worth 69 centavos in June 2017.
•  In other words, a basket of goods that can be bought 69 pesos in 2006 is worth 100 pesos in June 2017.
• The PPP in all the provinces generally weakened in June 2017 as compared to June 2016.
• Apayao had the highest peso value at 76 centavos, followed by Abra at 74 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)

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.