Taiwan’s consumer prices up 0.40 percent in July

Taipei, Taiwan's consumer price index (CPI) rose slightly by 0.40 percent in July from a year earlier, according to government statistics released Tuesday.

The core CPI, which excludes fruit, vegetables and energy, rose 0.34 percent yearonyear in July, according to the Directorate General of Budget, Accounting and Statistics (DGBAS).

The cost of a basket of 17 governmentmonitored household necessities, including rice, pork, bread, eggs, sugar, cooking oil, shampoo and toilet paper, dropped 0.46 percent from a year earlier in July, the data showed.

It was the first drop in 40 months, mainly due to an oversupply of eggs, which experienced a price drop of 4.21 percent yearonyear, the DGBAS said.

However, the latest CPI data indicated that consumer prices remained moderately stable, DGBAS expert Chiu Shuchun said.

The wholesale price index (WPI), meanwhile, fell 3.42 percent from a year earlier in July, the biggest drop in 34 months.

This was caused by a fall in fuel, base metal, chemical and medicine prices, spurred by the effects of the ongoing trade dispute between the United States and China, Chiu said.

According to the DGBAS, the latest CPI data indicated that local consumer price growth remains stable and that deflation is not an issue to be concerned about, thanks to support from increasing investments by returning Taiwanese businesses.

Source: Focus Taiwan News Channel