JUNE 2014 INFLATION AT 0.43 PERCENT

The development of commodity prices, in general, in June 2014 showed an increase. Based on the monitoring result of the Central Bureau of Statistics (BPS) in 82 cities in June 2014 there was an inflation of 0.43 per cent, or an increase in the Consumers Price Index (CPI) from 111.53 in May 2014 to 112.01 in June 2014. Inflation by calendar year (January to June) 2014 is 1.99 percent from inflation rate year-on-year (June 2014 to June 2013) at 6.70 percent.

Inflation occurred due to price increases as shown by the increase of indexes of all expenditure groups, namely: foodstuffs 0.99 percent: processed foods, beverages, cigarettes, and tobacco 0.32 percent: housing, water, electricity, gas and fuel 0.38 percent: clothing group 0.36 percent: education, recreation, and sports 0.08 percent: and transportation, communications, and financial services 0.19 percent.

Commodities which experienced price increases in June 2014 include: purebred chicken meat, shallots, purebred chicken eggs, electricity rates, air transport rates, tomatoes, garlic, house contract rates, rice, clove cigarettes, filter clove cigarettes, cement, wages of non-foreman construction workers, household fuel, gold jewelry, and motorcycles. While, commodities whose prices decline are: cayenne pepper, red pepper, and fresh fish.

In June 2014, all expenditure groups that contributed to inflation are: foodstuffs 0.19 percent: processed foods, beverages, cigarettes, and tobacco 0.06 percent; housing, water, electricity, gas and fuel 0.09 percent; clothing groups 0.02 percent; health group 0.02; education, recreation, and sports 0.01 percent; and transportation, communications, and financial services 0.04 percent.

Foodstuffs in June 2014 experienced inflation at 0.99 percent or increase of index from 116.26 in May 2014 to 117.41 in June 2014.

Of 11 subgroups in the foodstuff group experienced deflation. Subgroup that experienced the highest inflation are subgroup of meat and products thereof, and lowest was experiences by subgroup of preserved fish at 0.05 percent. While, dominant contributors to deflation are fresh fish subgroup at 0.30 percent.

This group, in June 2014 contributed 0.19 percent to inflation. Dominant contributors to inflation include: purebred chicken meat at 0.06 percent; shallots 0.05 percent: purebred chicken eggs 0.04 percent; tomatoes vegetable and garlic 0.02 percent, respectively; and rice 0.01 percent;. While, dominant contributors to deflation are: cayenne pepper 0.03 percent; red chili 0.02 percent; and fresh fish 0.01 percent.

In June 2014 there was inflation at 0.43 percent with Consumer Price Index (CPI) at 112.01. From 82 cities of IHK, 76 cities experienced inflation and 6 cities experienced deflation. The highest inflation occurred in Ternate  at 1.29 percent with CPI at 114.28, and the lowest occurred in Tual at 0.06 percent with CPI at 113.36. while, the highest deflation occurred in Maumere at 0.72 percent with CPI at 110.93, and the lowest occurred in Pematang Siantar at 0.09 percent with CPI at 115.04. (E) 

Business News - July 2, 2014