AUGUST 2014 INFLATION 0.47 PERCENT

The development of commodity prices, in general, in August 2014 showed an increase. Basd on the monitoring results of the Central Bureau of Statistics (BPS) in 82 cities in August 2014 inflation occurred at 0.47 per cent, or an increase in the Consumer Price Index (CPI) from 113.05 in July 2014 to 113.58 in August 2013) 3.99 percent.

Inflation occurred due to price increase as shown by the increase of indexes of some expenditure groups, namely: food-stuffs 0.36 percent; processed foods, beverages, cigarettes, and tobacco 0.52 percent; housing, water, electricity, gas and fuel 0.73 percent; clothing group 0.23 percent; health group 0.33 percent; and education, recreations, and sports 1.58 percent. While, transportation, communications, and financial services showed a decreased of index of 0.12 percent.

Some commodities which experienced price increases in August 2014 include: electricity rates, fresh fish, primary school tuition, secondary school tuition, rice, purebred chicken meat, house contract rates, elementary school tuition, high school tuition, kale, cucumber, red paper, cayenne pepper, noodles, rice with side dishes, clove cigarettes, filter clove cigarettes, house rent rates, elementary school tuition, academy/university tuition, and air freight rates. While, commodities whose prices decline include: red union, inter-city transport fares, tomatoes, purebred chicken eggs, tomato fruit, garlic, and cell phones.

In August 2014, all expenditure groups contributed to inflation, they are: foodstuffs 0.07 percent; processed food, beverages, cigarettes, and tobacco 0.09 percent; housing, water, electricity, gas, and fuel 0.18 percent; clothing group 0.01 percent; health group 0.02 percent; education, recreations, and sports group 0.12 percent. While, transportation, communications, and financial services contributed 0.02 percent to deflation.

Foodstuffs in August 2014 experienced 0.36 percent inflation increase of index from 119 in July 2014 to 120.12 in August 2014.

Of 11 subgroups in foodstuffs group, 8 subgroups experienced inflation and 3 subgroups experienced deflation. Subgroups that experienced the highest inflation are fresh fish subgroup at 1.39 percent, and the lowest is experienced by fats and oils subgroup at 0.26 percent. While, subgroups which experienced the highest deflation are subgroups of spices at 1.63 percent, and the lowest is experienced by subgroup of eggs, milk, and products thereof at 0.09 percent.

This group, in August 2014, contributed 0.07 percent to inflation. Dominant contributors to inflation include: fresh fish 0.04 percent; rice and purebred chicken meat at 0.02 percent, respectively; kale, cucumber, red pepper, and cayenne pepper at 0.01 percent, respectively. Conversely, dominant contributors to deflation this month include: red onion 0.03 percent; tomatoes 0.02 percent; purebred chicken eggs, tomato fruits, and garlic 0.01 percent, respectively.

In August 2014 there was an inflation of 0.47 percent with Consumer Price Index (CPI) at 113.58. Of 82 cities of CPI, 66 cities recorded inflation and 16 cities experienced deflation. The highest Inflation occurred in Tanjung Pandan at 1.98 percent with CPI at 121.24, and the lowest occurred in Banjarmasin at 0.02 percent with CPI at 111.63. while, the highest deflation occurred in Ternate at 1.02 percent with CPI at 116.00, and the lowest occurred in Bajarmasin at 0.02 percent with CPI at 111.63. While, the highest deflation occurred in Ternate at 1.02 percent with CPI at 116.00, and the lowest occurred in Samarinda at 0.01 percent with CPI at 115.17. (E)

Business News - September 3, 2014