Ilocos Region
I. Overall Inflation
The inflation rate of the Ilocos Region for the bottom 30% income household increased to 2.7 percent in October 2024 from 0.6 percent in September 2024, higher by 2.1 percentage points. On the other hand, it is lower by 2.8 percentage points from the rate of 5.5 percent in October 2023.
1.1 Main Drivers to the Upward Trend of the Overall Inflation
The upward trend of the overall inflation for the bottom 30% income households in October 2024 was primarily contributed by food and non-alcoholic beverages with index of this commodity group at 2.9 percent from -0.6 percent in the previous month.
Higher indices were also observed in the following commodity groups during the month of October 2024:
a. Clothing and footwear, 4.6 percent from 4.0 percent;
b. Housing, water, electricity, gas and other fuels, 3.8 percent from 2.9 percent;
c. Furnishings, household equipment and routine household maintenance, 5.2 percent from 4.8 percent;
d. Transport, -2.0 percent from -3.6 percent;
e. Recreation, sport and culture, 5.0 percent from 4.5 percent;
f. Restaurants and accommodation services, 1.0 percent from 0.9 percent; and
g. Personal care, and miscellaneous goods and services, 4.9 percent from 4.3 percent.
On the other hand, the inflation rate for health decreased to 2.5 percent from 3.1 percent in September 2024.
The rest of the commodity groups retained their previous month’s inflation rates or had zero percent annual growths. (Table B)
1.2 Main Contributor to the Overall Inflation
The following commodity groups were the top three contributors to the October 2024 overall inflation for the bottom 30% income households:
a. Food and non-alcoholic beverages, 53.6 percent share or 1.45 percentage points;
b. Housing, water, electricity, gas and other fuels, 22.7 percent share or 0.61 percentage point; and c. Personal Care, and Miscellaneous goods and services, 10.5 percent share or 0.28 percentage point.
II. Food Inflation
Food inflation for the bottom 30% income households at the regional level accelerated to 2.7 percent in October 2024 from -1.0 percent in the previous month. In October 2023, its annual increase was observed at 10.8 percent.
2.1 Main Drivers to the Upward Trend of the Food Inflation
The acceleration of food inflation was mainly contributed by Cereals and cereal products (ND) at 6.7 percent in October 2024 from 1.7 percent in September 2024. Likewise, the following food groups contributed to the uptrend in food inflation in October 2024:
a. Meat and other parts of slaughtered land animals (ND), 4.8 percent from 3.3 percent;
b. Fish and other seafood (ND), 1.1 percent from 0.0 percent;
c. Milk, other dairy products and eggs (ND), 3.3 percent from 2.5 percent;
d. Vegetables, tubers, plantains, cooking bananas and pulses (ND), -15.1 percent from -27.5 percent;
e. Sugar, confectionery and desserts (ND), -3.2 percent from -4.6 percent; and
f. Ready-made food and other food products n.e.c. (ND), 11.0 percent from 10.1 percent.
On the other hand, lower index was observed for fruits and nuts. (Table C)
2.2 Main Contributors to the Food Inflation
Food inflation contributed 46.9 percent or 1.27 percentage points to the October 2024 overall inflation. The top three main contributors to the food inflation during the month were the following: a. Cereals and cereal products (ND), 88.0 percent or 2.38 percentage share;
b. Meat and other parts of slaughtered land animals (ND), 22.2 percent or 0.60 percentage point; and
c. Ready-made food and other food products n.e.c. (ND), 12.7 percent or 0.34 percentage point.
Provinces
Among the provinces, llocos Sur posted the highest inflation rate for the bottom 30% income households at 5.9 percent in October 2024, followed by La Union with 4.3 percent. Meanwhile, Pangasinan and llocos Norte registered 1.9 percent and 1.8 percent annual growth, respectively.
Compared to their respective levels in October 2023, all provinces recorded lower inflation rates except llocos Sur,
Note:
CPIs and inflation rates by province and selected city are posted at the PSA website
(https://openstat.psa.gov.ph/).
SGD. ATTY. SHEILA O. DE GUZMAN
Regional Director, RSSO 01
