Filipino consumers, especially low-income households, are getting a rare reprieve as food prices ease ahead of the holiday season.
“The data behoove us to make sure food prices are kept low to ease the financial burden of consumers, especially the poor,” Department of Agriculture Secretary Francisco Tiu Laurel said, pointing to recent sharp declines in rice, corn, vegetables and meat.
He pointed out that these staples are key to preserving the spending power of Filipino families.
Headline inflation slowed to 1.5 percent in November, the lowest in three months, according to the Philippine Statistics Authority (PSA).
Much-needed breathing room
Among the poorest 30 percent of households, deflation persisted at 0.2 percent, following a 0.4 percent drop in October and far below the 2.9 percent inflation recorded a year ago, giving low-income families some much-needed breathing room.
Economic Planning Assistant Secretary Divina Gracia del Prado said falling staple prices were a major factor, particularly a 15.4 percent drop in rice and 4.1 percent in corn.
“Rice accounts for 8.9 percent of the average Filipino’s consumption, but 17.9 percent of the basket of the poor,” she said, underscoring how easing grain prices quickly relieve financial pressure on vulnerable households.
Tiu Laurel acknowledged the challenge of balancing affordable food with farmer profitability.
“We are trying our best to support the profitability of our farmers while keeping food affordable for consumers. Despite the number of products we have to monitor, we are slowly rationalizing our food system.”
Maximum suggested retail price enforced
To maintain price stability, the DA has enforced a maximum suggested retail price on imported rice, onion, and carrots, reinstated price caps on pork, and allowed the importation of onions, carrots, meat, and fish to augment supply and prevent spikes.
PSA data show cereals and cereal products reduced overall inflation by 3.3 percentage points, followed by sugar and desserts, and fruits and nuts, reflecting broad easing across key food categories.
The Agriculture Department added that keeping food prices steady will be vital in sustaining household consumption — the main driver of the Philippine economy — especially as holiday demand rises.
