CAGAYAN DE ORO CITY (PIA) -- Northern Mindanao's inflation rate increased to 4.8 percent in December, edging up by 0.1 percentage point from November 2023, according to the Philippine Statistics Authority (PSA).

Higher prices for food and non-alcoholic beverages at 9.2 percent, alcoholic beverages and tobacco at 6.7 percent, and health at 1.7 percent were the main drivers of the upswing.

Janith Aves, PSA-10 officer-in-charge, highlighted that the rise in prices of food and non-alcoholic beverages in December 2023 was cereals and cereal products (from 14.2 percent to 18.1 percent) with rice as the main contributor, and milk, other dairy products, and eggs (from 4 percent to 4.8 percent with eggs as the main source).

She said cigarette prices were the primary factor behind the increased inflation in alcoholic beverages and tobacco, reaching 9 percent  in December, up from 8.1 percent in November.

Medicines, vaccines, and other pharmaceutical preparations accounted for 0.8 percent of inflation in the health sector, inpatient curative and rehabilitative services for 5.8 percent, and diagnostic imaging and medical laboratory services for 3.4 percent.

With an 81.4 percent share, food and non-alcoholic beverages led the list of contributors to inflation in December. Personal care, other goods and services came in second at 4.4 percent, and clothing and footwear came in third at 3.5 percent.

For food commodities, the primary contributors to the inflation were cereals and cereal products, with rice as the main contributor; fish and other seafood, with fresh flying fish as the major contributor; and vegetables, tubers, plantains, cooking bananas, and pulses, with chayote as the major contributor.

Among the provinces and highly urbanized cities in the region, only Bukidnon and Cagayan de Oro City experienced an acceleration in inflation rates in December, recording 6.3 percent and 4.2 percent, respectively. Iligan City maintained an unchanged inflation rate of 3.6 percent, while the provinces of Camiguin, Lanao del Norte, and Misamis Occidental reported slower price increases.

Cautious about spending

Responding to the higher prices, consumers like Alma Gabut are making adjustments, such as buying smaller quantities, to manage their budget effectively.

"Medyo siya nagmahal so aron mapalit namo among gusto, nagreduce nalang mi. Imbes nga one kilo, one half nalang among paliton [It's a bit expensive, so for us to buy what we want, we just reduced. Instead of one kilo, we only buy half]," she said.

Lawrence Cagalitan also echoed this sentiment, noting that prices were notably higher in December, affecting the purchasing power of the peso. 

"Prices were really higher in December compared to regular days because of the holiday rush. Last December, we were able to spend P5,000 on our Noche Buena, and that’s good only for three to four people. But regardless of the price, what is important is that we were able to celebrate the holidays with the family," he said.  (APB/PIA-10)