Commodity Prices Increased in April
COMMODITY PRICES- Goods and services prices increased faster in April 2018 driven by the rising demand of prices in commodities, as per the official data.
According to a report in CNN Philippines, The Philippine Statistics Authority (PSA) stated on May 4 that the inflation in prices picked up faster at the recorded rate of 4.5 percent, .2 percent higher than of the previous month.
Reportedly, both figures charted in April and March breached Bangko Sentral’s aim of 2 percent and 4 percent for the year. Last February, commodity prices reached a three-year high, having tallied 3.9 percent. The inclination then continued up to the present.
It can be reckoned that prices of the majority of commodities abruptly surged after the implementation of the Comprehensive Tax Reform Law by the start of the year.
As specified by the Philippine Statistics Authority, the commodities which had prices hike are: alcoholic beverages and tobacco; clothing and footwear; housing, water, electricity, gas, and other fuels; furnishing, household equipment and routine house maintenance; health; transport; recreation and culture; and restaurant and miscellaneous goods and services.
Cigarettes and Alcoholic drinks led the annual price upsurge at 20 percent while the rest of the list only posted single-digit price growth.
As stated in the report, the price inflation in April was parallel to the Department of Finance’s forecast of 4.5 percent and is at the higher end of Bangko Sentral ng Pilipinas’ projected range of 3.9 percent to 4.7 percent.
In Department of Finance’s most recent economic bulletin, the government agency accredited that the inflation is more evident in so-called “sin products”.
“Sin products continue to drive inflationary pressure. Price movements, nevertheless, appear to be normalizing,” the Department of Finance said.