The inflation rate for low-income households in Guimaras Province spiked to 8.5% in March 2024, up from 7.0% the prior month, largely due to a significant increase in food prices, which saw an 11.8% jump according to the latest figures from the Philippine Statistics Authority (PSA).
The 11.8% food inflation was influenced by the accelerated price movement of rice, whose inflation rate rose to 33.9% in March 2024 from 24.6% in February 2024, constituting a significant 58.3% share. Regarding its contribution to the overall inflation of food items for low-income households, the rapid market value of rice remained predominant, accounting for 68.2%.
Provincial Statistics Officer Nelida B. Losare elaborated, “The substantial rise in the cost of rice propelled the 11.3% inflation on food and non-alcoholic beverages, marking the highest contribution of 75.5% to the inflation trend, and an 82.2% contribution to the overall inflation experienced by the bottom 30% income households.”
Additional contributors to the March 2024 inflation included Housing, Water, Electricity, Gas, and Other Fuels with a 2.3% inflation rate, contributing to 14.4% of the trend. Restaurants and Accommodation Services, meanwhile, experienced a 13.7% inflation rate, contributing 5.7%.
Transportation, which only saw a 0.5% rise in prices, was the third leading cause of the overall inflation trend, contributing 7.2%. In contrast, Alcoholic Beverages and Tobacco, with a 9.8% rise in prices, contributed 4.4%.
Beyond rice, the spike in inflation was also driven by other food items like meat, particularly pork which saw a 44.9% inflation, and vegetables like tomatoes with a staggering 75.8% inflation rate.
Losare further detailed, “Electricity, with a 9.1% inflation rate, primarily drove the increase in costs for Housing, Water, Electricity, Gas, and Other Fuels. Similarly, the significant price changes in restaurants, cafes, and similar establishments pushed the inflation rate for Restaurants and Accommodation Services.”
Additionally, the modest increase in transportation costs was influenced by a decrease in gasoline prices, contrasting with the sharp rise in the cost of tobacco, which largely fueled the 9.8% inflation in Alcoholic Beverages and Tobacco.
Lastly, Losare pointed out the broader economic context for low-income families in Guimaras, indicating that they needed 1,341 pesos in March 2024 to buy the same basket of goods and services that 1,000 pesos would have bought in 2018, as per the Consumer Price Index (CPI).
This report underscores the challenges faced by the bottom 30% of income earners, especially in terms of the rising cost of essential goods and services, which places a greater burden on their financial well-being.
