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Tuesday, April 1, 2014

BPS : eruption and smog trigger inflation

BPS : eruption and smog trigger inflation


Central Statistics Agency ( BPS ) recorded inflation rate reached 0.08 percent in March 2014 as triggered by the high prices of food, beverages and air freight rates , due to the volcanic eruption and smog .

" The occurrence of inflation in March 2014 , also influenced the climate in a number of areas such as volcanic eruptions and resulting haze disrupted community activities , " BPS chief Suryamin on Tuesday .

Period inflation rate of 0.08 percent in March 2014 was lower than the inflation rate of 0.26 percent in February 2014 .

Thus inflation rate of calendar year (January- March 2014 ) reached 1.41 percent , and the annual inflation ( yoy ) to reach 7.32 percent .

Some commodity prices rose in March 2014 , among others , rice , cayenne pepper , air freight rates , garlic , cooking oil , clove cigarette filters , milk for infants , spinach , noodles , clove cigarettes , clove cigarettes , and cars .

Based on expenditure groups , processed foods , beverages , cigarettes and tobacco accounted for 0.07 percent share of inflation , followed by housing, water , electricity , gas and fuel 0.04 percent , 0.02 percent next group of health , education, recreation and sports 0.01 percent .

According Suryamin , rice price increases occurred in some areas due to the eruption of Mount Kelud affecting agriculture in Central Java and East Java . While Sinabung also affect commodity prices in North Sumatra .

" The rainy season which continues in some areas resulted in rice drying process take a little longer , " he said .

In commodities chili , with 0.05 per cent share from the effects of inflation Kelud and Sinabung eruption , while the air freight rates with inflation contributed 0.33 percent due to increases in the cost of the passenger fare .

He explained that , despite the rise in prices drove inflation , but on the other hand , a decline in prices or deflation in a number of commodities .

Deflation in food group contributed 0.11 percent as eggs , red pepper , chicken, tomatoes and vegetables , because the supply in almost all regions have increased .

Of the 82 cities Consumer Price Index ( CPI ) , there were 45 cities experiencing inflation , with the highest occurring in Merauke inflation of 1.15 percent , while the lowest inflation in Kediri and Makassar persn 0.02 respectively .

" High inflation in Merauke , due to rising prices of foodstuffs, building materials , including air freight rates and other transportation , " he said .

Meanwhile , of the 37 cities that experienced deflation CPI , CPM deflation occurred in Tual minus -2.34 percent .

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