Consumer prices rebound in November on vegetable, flight price rises

Taipei,  The consumer price index (CPI) rose 0.09 percent in November from a year earlier, boosted by surging prices of vegetables and plane tickets, the Directorate General of Budget, Accounting and Statistics (DGBAS) reported Tuesday.

This is the first year-on-year growth of the index, which has seen nine consecutive months of decline, since February, due the COVID-19 pandemic and dropping crude oil prices, according to the DGBAS.

An 11.41 percent rise in vegetable prices from last year and a 21.71 percent rise in plane ticket prices boosted the overall index by 0.43 percentage points, said DGBAS official Tsao Chih-hung (曹志弘) during a press conference held to release the statistics.

Fuel prices and sales launched by the hospitality sector to attract customers still dragged the index down, he said, although the impact waned.

Even though international crude prices recently rose to US$47 per barrel from the average price of US$42.61 in November, it was still lower than the average price of US$66.48 in December last year, he said.

The core CPI, which excludes prices of vegetables, fruit and energy, rose 0.78 percent, the largest jump since February, the statistics showed.

Looking forward, the DGBAS official said he expects to see the December figures maintaining the growth trend.

While the declines of the CPI in recent months were mainly caused by the falling crude prices, the official said there should be no concerns about deflation, given the rebound of the data.

Whether Taiwan will see a significant rise of the index, he added, will depend on the direction of crude prices.

 

Source: Focus Taiwan News Channel

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